Answer:
correct option is c) direct materials of $60,000, direct labor of $52,800, utilities of $6,000, and supervisor salaries of $24,000
Explanation:
given data
static budget = 10,000 units
direct materials = $50,000
direct labor = $44,000
variable utilities = $5,000
supervisor salaries = $24,000
flexible budget = 12,000 units
solution
Miller & Sons Static Budget Flexible Budget
Details Total Cost Variable cost/unit total cost
unit produced 10000 12000
direct material 50000 500 60000
direct labour 44000 4.40 52800
variable utility 5000 0.50 6000
supervisor salary 24000 24000
total cost 123000 142800
so correct option is c) direct materials of $60,000, direct labor of $52,800, utilities of $6,000, and supervisor salaries of $24,000
