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    Stang Sports Equipment Flexible Budget

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    Stang Sports Equipment Company made 40,000 basketballs in a given year. Its manufacturing costs were $288,000 variable and $95,000 fixed. Assume that no price changes will occur in the following year and that no changes in production methods are applicable. Compute the budgeted cost for producing 44,000 basketballs in the following year.

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    Solution Summary

    The solution computes budgeted cost of basketballs.