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QUESTION 21 Red Company developed a static budget at the beginning of the company's accounting period based on an expected volume of 8,000 units: Per
QUESTION 21 Red Company developed a static budget at the beginning of the company's accounting period based on an expected volume of 8,000 units: Per Unit Revenue $ 4.00 Variable costs 1.50 Contribution margin $ 2.50 Fixed costs 2.00 Net income $ 0.50 If actual production totals 10,000 units, which is within the relevant range, the flexible budget would show fixed costs of: O A. $16,000. O B. $2 per unit. O C. $20,000. O D. None of these answers are correct.QUESTION 22 The Tree Company provides the following standard cost data per unit of product: Variable overhead $ 8.00 Tree Co. anticipated that they would produce and sell 24,000 units. During the period, the company produced and sold 25,000 units, incurring $210,000 of variable overhead costs. The variable overhead exible budget variance was: A. $8,000 unfavorable. B. $10,000 unfavorable. 0. $8,000 favorable. D. $10,000 favorable
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