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6 The manufacturing overhead budget at Amrein Corporation is based on budgeted direct labor - hours . ' The direct labor budget indicates that 4

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6 The manufacturing overhead budget at Amrein Corporation is based on budgeted direct labor - hours . ' The direct labor budget indicates that 4 900 direct labor - hours will be required in August . The variable overhead rate is $9 40 per direct labor - hour . The company 's budgeted fixed manufacturing overhead is $96 040 per month , which includes depreciation of $7 350 . All other fixed manufacturing overhead costs represen current cash flows . The August cash disbursements for manufacturing overhead on the manufacturing overhead budget should be A ) $88 , 690 B ) $134 750 $46 060 D ) $ 142 100

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