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Jansen Inc. currently produces and sells 12,000 units per year with the following cost data: Variable costs $10 per unit Fixed costs $30,000 Next year,

Jansen Inc. currently produces and sells 12,000 units per year with the following cost data:

Variable costs

$10 per unit

Fixed costs

$30,000

Next year, Jansen plans to increase its advertising budget, which will increase fixed costs by 5%. With increased advertising, the company expects the number of units produced and sold to increase by 8%. What are budgeted total costs expected to be next year?

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