A. $135,000
B. $45,000
C. $50,000
D. $55,000
✅ The correct answer is option D.
Flexible budget cost = Flexible budget variance – An actual cost
= $95000 – $40000 = $55,000.
Flexible budget cost = Flexible budget variance – An actual cost
= $95000 – $40000 = $55,000.