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Reflector Glass Company prepared the following static budget for the year: Static Budget Units/Volume 6,000 Sales Revenue Variable Costs Per Unit $7.00 1.50 $42,000
Reflector Glass Company prepared the following static budget for the year: Static Budget Units/Volume 6,000 Sales Revenue Variable Costs Per Unit $7.00 1.50 $42,000 9,000 Contribution Margin 33,000 Fixed Costs Operating Income/(Loss) 3,000 $30,000 If a flexible budget is prepared at a volume of 9,700 units, calculate the amount of operating income. The production level is within the relevant range. A. $50,350 B. $53,350 c. $30,000 D. $3,000
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