Reference: Survey of Accounting 6th edition Book

Based on Chapter 15

Multiple Choice

The cost accountant for Carlos Candies, Inc. prepared the following static budget based on expected activity of 5,000 units: Revenues $ 164, 090 Variable Costs (122, 500) Contribution Margin 41, 500 Fixed Costs (25, 500) Net Income $ 16,000 If Carlos actually produced 3,700 units, the flexible budget would show fixed costs amounting to