Carol and Brian are the production managers at Mariani, Ltd. The current budget of production is for 70,000 components, and the factory overhead costs associated with this budget are:  lop2

Transcribed Image Text:

Factory rent (fixed) Factory equipment depreciation (fixed) Supervision (80% fixed). Heat, light, and power (60% fixed). Indirect materials (variable) Indirect labor (variable). Supplies (variable). Repairs (50% fixed). Miscellaneous factory overhead expenses (75% fixed) Required: Prepare a static budget at 70,000 components. $ 1,500 2,750 37,500 9,375 112,500 75,000 750 750 6,000