Zaria Inc. provides the following budgeted data for producing 10,000 units of one of its products in its static budget for the next quarter: Sales per unit  $60 Variable costs per unit  $40 Fixed costs for the quarter $20,000 What would be the amount of operating income to be reported in the flexible budget prepared at a volume of 12,000 units? Group of answer choices $620,000 $216,000 $220,000 $300,000

Principles of Accounting Volume 2
19th Edition
ISBN:9781947172609
Author:OpenStax
Publisher:OpenStax
Chapter7: Budgeting
Section: Chapter Questions
Problem 12PB: Before the year began, the following static budget was developed for the estimated sales of 50,000....
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Zaria Inc. provides the following budgeted data for producing 10,000 units of one of its products in its static budget for the next quarter:

Sales per unit  $60
Variable costs per unit  $40
Fixed costs for the quarter $20,000

What would be the amount of operating income to be reported in the flexible budget prepared at a volume of 12,000 units?

Group of answer choices
$620,000
$216,000
$220,000
$300,000
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