A review of Parry Corporation's accounting records found that at a volume of 90,000 units, the variable and fixed cost per unit amounted to $8 and $4, respectively. On the basis of this information, what amount of total cost would Parry anticipate at a volume of 85,000 units?
A. $1,020,000.
B. $1,040,000.
C. $1,060,000.
D. $1,080,000.
E. Some other amount not listed above
Answer: B. $1,040,000.
If the answers is incorrect or not given, you can answer the above question in the comment box. If the answers is incorrect or not given, you can answer the above question in the comment box.