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Summer Nights sells bottles of bug spray for $7.50 each. Variable costs are $2.00 per bottle, while fixed costs are $35,000 per month for volumes

Summer Nights sells bottles of bug spray for

$7.50

each. Variable costs are

$2.00

per bottle, while fixed costs are

$35,000

per month for volumes up to

50,000

bottles of spray and

$56,000

per month for volumes above

50,000

bottles of spray. The flexible budget would reflect monthly operating income for

18,000

bottles of spray and

31,000

bottles of spray of what dollar amounts?

A.

$135,000

and

$232,500,

respectively

B.

$100,000

and

$135,500,

respectively

C.

$64,000

and

$135,500,

respectively

D.

$43,000

and

$176,500,

respectively

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