I played with a regionally popular band around the same time and we were able to record a 5-song EP for $7500; it sounds like we got a similar level of attention from our producer (who had a few "oh yeah I know them" acts on his resume but none as popular as Avenged Sevenfold).
$40k would be extortionate for what we got, but there are producers out there who are worth it. The Beatles got a good deal no matter what they paid George Martin.
$40k a song would be for a full orchestra from a smaller state college or conservatory recorded in a million dollar venue.
I'm making this up obviously, my point is recording technology has increased vastly in quality and decreased vastly in cost, so for a single song to cost $40k just to record (assuming that mixing and mastering is done elsewhere) there has to be a LOT of moving parts and unique considerations ramping up the cost.
$40k should be enough for your average band to record a full medium to high quality album and have it mixed and roughly mastered. Not necessarily by the best in the business at any level, but you should still have a high quality, release worthy result at that price if you are not being taken advantage of.
I played with a regionally popular band around the same time and we were able to record a 5-song EP for $7500; it sounds like we got a similar level of attention from our producer (who had a few "oh yeah I know them" acts on his resume but none as popular as Avenged Sevenfold).
$40k would be extortionate for what we got, but there are producers out there who are worth it. The Beatles got a good deal no matter what they paid George Martin.