Gambarini Corporation Is a Wholesaler That Sells a Single Product

Multiple Choice

Gambarini Corporation is a wholesaler that sells a single product.Management has provided the following cost data for two levels of monthly sales volume.The company sells the product for $197.80 per unit. $\begin{array}{lrr}\text { Sales volume (units) .}&6,000 & 7,000 \\\text {Cost of sales }&\$ 486,600 & \$ 567,700 \\\text {Selling and administrative costs. }&\$ 612,600 & \$ 624,400\end{array}$ The best estimate of the total monthly fixed cost is:

A) $541,800
B) $1,192,100
C) $1,099,200
D) $1,145,650