If variable selling and administrative expenses totaled $120,000 for the year (80,000 units at $1.50 each) and the planned variable selling and administrative expenses totaled $136,500 (78,000 units at $1.75 each) , the effect of the unit cost factor on the change in variable selling and administrative expenses is:
A) $19,500 decrease
B) $19,500 increase
C) $20,000 decrease
D) $20,000 increase
Correct Answer:
Verified
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