FLEXIBLE BUDGET FOR VARIOUS PRODUCTION LEVELS Refer to the information provided in Problem 21-43.

Required:

. Calculate the direct labor hours required for production that is 10 percent higher than expected. Calculate the direct labor hours required for production that is 20 percent lower than expected.

. Prepare an overhead budget that reflects production that is 10 percent higher than expected, and for production that is 20 percent lower than expected. (Hint: Use total direct labor hours calculated in Requirement 1.)

Problem