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XYZ Company incurred the following costs for the month of August when it observed an activity level of 5,000 units: Variable costs $32,500; Fixed costs

XYZ Company incurred the following costs for the month of August when it observed an activity level of 5,000 units: Variable costs $32,500; Fixed costs $25,000; Mixed costs $21,500; Total costs $79,000. During October, the activity level was 16,000 units, and the total costs incurred were $178,000. If the activity level were expected to be 13,000 units for the month of December, what amount of total costs would be expected? Select one:

a. $151,000

b. $169,000

c. $160,000

d. $178,000

e. None of the answers given

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