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Ankeny College Recently Leased a Photocopy Machine for $1,500 Per

Question 78

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Ankeny College recently leased a photocopy machine for $1,500 per month plus $0.04 per copy.Additional variable operating costs were $0.02 per copy.Ankeny College estimated it would produce 30,000 copies per month.The Accounting Department estimated it would produce 6,000 copies, but actually produced only 5,000 copies.If fixed and variable-cost pools are allocated separately, then _____ is the amount of variable cost allocated to the Accounting Department:


A) $240
B) $360
C) $300
D) $200

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