Ralston has the following budgeted costs at its anticipated production level (expressed in hours): variable overhead, $170,700; fixed overhead, $280,000. If Ralston now revises its anticipated production slightly upward, it would expect:

Multiple Choice

A. total fixed overhead of $280,000 and a lower hourly rate for variable overhead.

B. total fixed overhead of $280,000 and the same hourly rate for variable overhead.

C. total fixed overhead of $280,000 and a higher hourly rate for variable overhead.

D. total variable overhead of less than $170,700 and a lower hourly rate for variable overhead.

E. total variable overhead of less than $170,700 and a higher hourly rate for variable overhead.