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Summer Nights sells bottles of bug spray for $ 6.50 each. Variable costs are $...

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Accounting

Summer Nights sells bottles of bug spray for $ 6.50 each. Variable costs are $ 2.25 per bottle, while fixed costs are $ 36 comma 000 per month for volumes up to 50,000 bottles of spray and $ 59 000 per month for volumes above 50 000 bottles of spray. The flexible budget would reflect monthly operating income for 19 000 bottles of spray and 20 000 bottles of spray of what dollar amounts?

A.

$87,500

and

$49,000,

respectively

B.

$123,500

and

$130,000,

respectively

C.

$21,750

and

$71,000,

respectively

D.

$44,750

and

$49,000,

respectively

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