Harrison Carpets Incurred the Following Costs for March When 3,000

Multiple Choice

Harrison Carpets incurred the following costs for March when 3,000 square feet of carpet were produced and sold:
- $18,500 for nylon thread used on carpet
- $5,000 for scotch guard for carpet
- $7,200 for jute backing to reinforce the carpet
- $6,800 for glue to be used in the manufacturing process
- $13,000 for insurance (half for administrative activities, half for production activities)
- $9,000 for production employees' wages
- $6,500 for rent and utilities in the factory
How much are total variable costs if 3,500 square feet of carpet are produced and sold in April?

A) $77,000
B) $46,500
C) $54,250
D) $43,750