問(wèn)題：In 20X5, costs were $1,077,000. In 20X6, activity was up 15% and costs were $1,200,000. Activity is expected to increase by 25% over the 20X6 levels in 20X7.
　　What is the expected total level of costs in 20X7?
　　$________
　　答案：The correct answer is: $1,435,750.
　　A 15% activity increase in 20X6 increased costs by $123,000 ($1,200k - $1,077k).
　　As fixed costs do not change with output, any change in costs must have been the result of a change in variable costs.
　　If 100% of the variable costs in 20X5 were $820,000 (123,000 divided by 15%), fixed costs must have been $257,000 ($1,077,000 - $820,000).
　　Variable costs in 20X6 were therefore, $943,000 (820,000 x 1 + 15%).
　　A 25% increase in 20X6 variable costs of $943,000 to $1,178,750 gives a total cost of $1,435,750 ($257,000 + $1,178,750).