Home Furnishings had the following budget for manufacturing overhead costs based on the production of 10,000 units. Home Furnishings has capacity to produce 20,000 units in any given period.

If Home Furnishings were to prepare a flexible budget based on the production of 15,000 units what would the total variable costs and total fixed costs be, respectively?

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$756,000 and $252,000

$756,000 and $168,000

$756,000 and $126,000

$504,000 and $126,000

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\begin{tabular}{|l|r|} \hline Variable & \\ \hline Indirect materials & $196,000 \\ \hline Indirect labour & 280,000 \\ \hline Factory supplies & 28,000 \\ \hline Fixed & \\ \hline Depreciation & 84,000 \\ \hline Supervision & 70,000 \\ \hline Property taxes & 14,000 \\ \hline & \\ \hline \end{tabular}