Cheyenne Company estimates that 264,000 direct labor hours will be worked during the coming year, 2022, in the Packaging Department. On this basis, the following budgeted manufacturing overhead cost data are computed for the year. Fixed Overhead Costs Variable Overhead Costs Supervision $84,480 Indirect labor $110,880 Depreciation 63,360 Indirect materials 79,200 Insurance 26,400 Repairs 60,720 Rent 21,120 Utilities 63,360 Property taxes 15,840 Lubricants 15,840 $211,200 $330,000 It is estimated that direct labor hours worked each month will range from 23,600 to 32,000 hours. During October, 23,600 direct labor hours were worked, and the following overhead costs were incurred. Fixed overhead costs: supervision $7,040, depreciation $5,280, insurance $2,164, rent $1,760, and property taxes $1,320. Variable overhead costs: indirect labor $10,937, indirect materials $6,760, repairs $5,352, utilities $6,016, and lubricants $1,688. (a) Prepare a monthly manufacturing overhead flexible budget for each increment of 2,800 direct labor hours over the relevant range for the year ending December 31, 2022. (List variable costs before fixed costs.) CHEYENNE COMPANY Packaging Department Monthly Manufacturing Overhead Flexible Budget For the Year 2022 Variable Costs V Indirect Labor Indirect Materials Total Variable Costs S $ S Indirect Labor 110,880 Indirect Materials 79,200 Repairs 60,720 Utilities V 15,840 Lubricants 330,000 Supervision V 84,480 Depreciation V 63,360 Insurance 26,400 Rent 21,120 Property Taxes 15,840 Fixed Costs 211,200 541,200 $ (b) Prepare a flexible budget report for October. (List variable costs before fixed costs.)\fCHEYENNE COMPANY Packaging Department Manufacturing Overhead Flexible Budget Report Difference Favorable Unfavorable Neither Favorable Budget Actual Costs nor Unfavorable V V V S