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Problem 1: Delaware Corp. prepared a master budget that included $17,800 for direct materials, $28,000 for direct labor, $15,000 for variable overhead, and $38,700 for fixed overhead. Delaware Corp. planned to sell 4,000 units during the period, but actually sold 4,300 units. What would Delaware's fixed overhead cost be if it used a flexible budget for the period based on actual sales?
Option 1: $41,603Option 2: $166,410Option 3: $38,700Option 4: $36,000
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