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15. Skelton Corporation had planned to produce 50,000 units of product during the first quarter of the current year. The company prepared the following budget
15.
Skelton Corporation had planned to produce 50,000 units of product during the first quarter of the current year. The company prepared the following budget on May 1:
Budgeted (50,000 units) | |||
Variable costs: | |||
Direct materials used | $ | 36,000 | |
Direct labor | 45,000 | ||
Variable overhead | 22,500 | ||
Fixed costs: | |||
Manufacturing overhead | 58,500 | ||
Total manufacturing costs | $ | 162,000 | |
During the first quarter, Skelton produced 60,000 units and incurred total manufacturing costs of $184,000.
Which of the following amounts should not be included in Skelton's flexible budget at a 60,000-unit level?
Group of answer choices
Direct materials used, $43,200
Fixed manufacturing overhead, $70,200
Direct labor, $54,000
Variable overhead, $27,000
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