Summer Nights sells bottles of bug spray for $6.00 each. Variable costs are $2.25 per...
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Summer Nights sells bottles of bug spray for $6.00 each. Variable costs are $2.25 per bottle, while fixed costs are $36,000 per month for volumes up to 40,000 bottles of spray and $61,000 per month for volumes above 40,000 bottles of spray. The flexible budget would reflect monthly operating income for 20,000 bottles of spray and 21,000 bottles of spray of what dollar amounts? A. $84,000 and $42,750, respectively B. $14,000 and $65,000, respectively C. $120,000 and $126,000, respectively D. $39,000 and $42,750, respectively
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