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Venus Company has developed the following flexible budget formula for annual indirect labor cost: Total annual cost = $12,000 + $.25/unit Operating budgets for the

Venus Company has developed the following flexible budget formula for annual indirect labor cost:

Total annual cost = $12,000 + $.25/unit

Operating budgets for the current month are based on 5,000 units. What are the indirect labor costs

included in this monthly planning budget?

A. $1,250

B. $2,250

C. $3,200

D. $13,250

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