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M Company prepared a static budget of 50,000 direct labor hours, with estimated overhead costs of $250,000 for variable overhead and $60,000 for fixed overhead.

M Company prepared a static budget of 50,000 direct labor hours, with estimated overhead costs of $250,000 for variable overhead and $60,000 for fixed overhead. Trepid then prepared a flexible budget at 38,000 labor hours. How much is total overhead costs at this level of activity? 

$260,000 

$250,000 

$247,000 

$190,000r

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