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Grundmann Inc

Question 92

Multiple Choice

Grundmann Inc. reports that at an activity level of 6,500 machine-hours in a month, its total variable inspection cost is $487,110 and its total fixed inspection cost is $326,040.
-What would be the total variable inspection cost at an activity level of 6,600 machine-hours in a month? Assume that this level of activity is within the relevant range.


A) $494,604
B) $331,056
C) $487,110
D) $813,150

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