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Question(s) / Instruction(s):

A company's static budget estimate of total overhead costs was $400,000 based on the assumption that 20,000 units would be produced and sold. The company estimates that 30% of its overhead is variable and the remainder is fixed. What would be the total overhead cost according to the flexible budget if 24,000 units were produced and sold? A) $384,000 B) $400,000 C) $424,000 D) $464,000

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