Use the following information to answer the following Questions
Seven Falls Cuisines has the following flexible-budget formula:
Y = $13PH + $450,000 where PH is defined as process hours.

-What is Seven Falls' budgeted total cost if its process hours equal 25,000?
A) $325,000.
B) $450,000.
C) $775,000.
D) $1,225,000.
E) Answer cannot be determined from the information provided.

Question

Use the following information to answer the following Questions
Seven Falls Cuisines has the following flexible-budget formula: 
Y = $13PH + $450,000 where PH is defined as process hours.

-What is Seven Falls' budgeted total cost if its process hours equal 25,000?
A) $325,000.
B) $450,000.
C) $775,000.
D) $1,225,000.
E) Answer cannot be determined from the information provided.

Quizplus · Accepted Answer

To calculate the budgeted total cost, substitute 25,000 for PH in the formula: Y = $13(25,000) + $450,000 = $325,000 + $450,000 = $775,000.

Use the Following Information to Answer the Following Questions