Level of activity within the relevant range


Krouse Corporation reports that at an activity level of 8,100 units, its total variable cost is $517,995 and its total fixed cost is $197,700. What would be the total cost, both fixed and variable, at an activity level of 8,600 units? Assume that this level of activity is within the relevant range. (Do not round the variable cost per unit.)

a) $745,465

b) $715,695

c) $747,670

d) $549,970

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Accounting Basics: Level of activity within the relevant range
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