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Question - HTF Company has two offices, one in Chicago and one in Atlanta. During November, the Chicago office reported a contribution margin $108,000; traceable fixed costs of $40,000; and had variable costs equal to 40% of the sales in the Chicago office. During November, the Atlanta office had a segment margin of $73,000 and traceable fixed costs of $65,000. HTF Company as a whole had total sales of $501,000 and reported a net income of $30,000 in November.
Calculate the variable costs reported by the Atlanta office in November.
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