Laramie, Inc $\text { Laramie had the following budgeted data }$

Multiple Choice

Laramie, Inc., has an operating environment with considerable uncertainty. The company prepares the budget for several different volume levels. $\text { Laramie had the following budgeted data }$
$\begin{array}{lr}\text { Budgeted variable costs per unit: } & \\\text { Direct materials } & \$ 7.00 \\\text { Direct labor } & 10.00 \\\text { Supplies } & 1.00 \\\text { Indirect labor } & 0.50 \\\text { Power } & 0.05\\\\\text { Budgeted fixed overhead for } 2018 \text { : }\\\text { Supervision } & \$ 4,000 \\\text { Depreciation } & 3,000 \\\text { Rent } & 2,000\end{array}$ What are the budgeted costs for materials if 5,000 units were produced?

A) $9,000
B) $4,000
C) $50,000
D) $35,000