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Evaluate total monthly fixed costs

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Reference no: EM13524380

Callaham Corporation is a wholesaler that sells a single product. Management has provided the following cost data for two levels of monthly sales volume. The company sells the product for $115.80 per unit.

Sales volume (units)
4,000 5,000
Cost of sales $338,000 $422,500
Selling and administrative costs $89,600 $106,000
The best estimate of the total monthly fixed cost is


A. $24,000.

B. $427,600.

C. $478,050.

D. $528,500.

Reference no: EM13524380

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