Chubbs Inc.s manufacturing overhead budget for the first quarter of 2017 contained the following data.

Variable Costs	Fixed Costs
Indirect materials	$11,300	Supervisory salaries	$36,600
Indirect labor	10,600	Depreciation	7,700
Utilities	7,700	Property taxes and insurance	8,000
Maintenance	5,700	Maintenance	5,300

Actual variable costs were indirect materials $15,300, indirect labor $9,300, utilities $9,600, and maintenance $5,100. Actual fixed costs equaled budgeted costs except for property taxes and insurance, which were $9,100. The actual activity level equaled the budgeted level.

All costs are considered controllable by the production department manager except for depreciation, and property taxes and insurance.

(a)Prepare a manufacturing overhead flexible budget report for the first quarter.(List variable costs before fixed costs.)

CHUBBS INC. Manufacturing Overhead Flexible Budget Report For the Quarter Ended March 31, 2017
Difference
Budget	Actual	Favorable Unfavorable Neither Favorable nor Unfavorable
DepreciationIndirect LaborTotal Variable CostsTotal Fixed CostsTotal CostsFixed CostsIndirect MaterialsProperty Taxes and InsuranceUtilitiesMaintenanceSupervisory SalariesVariable Costs
Indirect LaborProperty Taxes and InsuranceFixed CostsDepreciationTotal CostsMaintenanceUtilitiesIndirect MaterialsSupervisory SalariesTotal Fixed CostsTotal Variable CostsVariable Costs	$	$	$	FavorableUnfavorableNeither Favorable nor Unfavorable
Supervisory SalariesTotal CostsIndirect LaborDepreciationMaintenanceTotal Fixed CostsUtilitiesTotal Variable CostsIndirect MaterialsVariable CostsProperty Taxes and InsuranceFixed Costs				FavorableUnfavorableNeither Favorable nor Unfavorable
Total Fixed CostsFixed CostsIndirect LaborMaintenanceVariable CostsIndirect MaterialsUtilitiesTotal Variable CostsProperty Taxes and InsuranceSupervisory SalariesTotal CostsDepreciation				FavorableUnfavorableNeither Favorable nor Unfavorable
Total Variable CostsUtilitiesProperty Taxes and InsuranceMaintenanceTotal Fixed CostsSupervisory SalariesVariable CostsIndirect LaborTotal CostsDepreciationFixed CostsIndirect Materials				FavorableUnfavorableNeither Favorable nor Unfavorable
Supervisory SalariesVariable CostsDepreciationTotal CostsTotal Fixed CostsFixed CostsIndirect LaborTotal Variable CostsIndirect MaterialsMaintenanceProperty Taxes and InsuranceUtilities				FavorableUnfavorableNeither Favorable nor Unfavorable
Indirect LaborTotal Fixed CostsTotal CostsUtilitiesFixed CostsTotal Variable CostsVariable CostsProperty Taxes and InsuranceDepreciationIndirect MaterialsMaintenanceSupervisory Salaries
Total CostsIndirect LaborTotal Variable CostsMaintenanceSupervisory SalariesUtilitiesTotal Fixed CostsIndirect MaterialsFixed CostsVariable CostsProperty Taxes and InsuranceDepreciation				FavorableUnfavorableNeither Favorable nor Unfavorable
Total Variable CostsSupervisory SalariesProperty Taxes and InsuranceTotal CostsTotal Fixed CostsUtilitiesVariable CostsDepreciationFixed CostsIndirect LaborIndirect MaterialsMaintenance				FavorableUnfavorableNeither Favorable nor Unfavorable
Total CostsFixed CostsVariable CostsIndirect LaborDepreciationIndirect MaterialsSupervisory SalariesTotal Fixed CostsTotal Variable CostsProperty Taxes and InsuranceMaintenanceUtilities				FavorableUnfavorableNeither Favorable nor Unfavorable
Indirect MaterialsDepreciationFixed CostsMaintenanceTotal Variable CostsSupervisory SalariesIndirect LaborProperty Taxes and InsuranceTotal Fixed CostsTotal CostsUtilitiesVariable Costs				FavorableUnfavorableNeither Favorable nor Unfavorable
Total Variable CostsIndirect LaborVariable CostsSupervisory SalariesUtilitiesMaintenanceProperty Taxes and InsuranceDepreciationFixed CostsTotal Fixed CostsIndirect MaterialsTotal Costs				FavorableUnfavorableNeither Favorable nor Unfavorable
Total CostsIndirect LaborUtilitiesTotal Fixed CostsTotal Variable CostsDepreciationFixed CostsIndirect MaterialsProperty Taxes and InsuranceVariable CostsMaintenanceSupervisory Salaries	$	$	$	FavorableUnfavorableNeither Favorable nor Unfavorable

(b)Prepare a responsibility report for the first quarter.

CHUBBS INC. Manufacturing Overhead Responsibility Report For the Quarter Ended March 31, 2017
Difference
Controllable Costs	Budget	Actual	Favorable Unfavorable Neither Favorable nor Unfavorable
DepreciationSupervisory SalariesUtilitiesMaintenanceProperty Taxes and InsuranceIndirect LaborIndirect Materials	$	$	$	FavorableUnfavorableNeither Favorable nor Unfavorable
Indirect MaterialsProperty Taxes and InsuranceDepreciationSupervisory SalariesIndirect LaborMaintenanceUtilities				FavorableUnfavorableNeither Favorable nor Unfavorable
UtilitiesSupervisory SalariesProperty Taxes and InsuranceMaintenanceDepreciationIndirect MaterialsIndirect Labor				FavorableUnfavorableNeither Favorable nor Unfavorable
DepreciationUtilitiesProperty Taxes and InsuranceSupervisory SalariesIndirect MaterialsIndirect LaborMaintenance				FavorableUnfavorableNeither Favorable nor Unfavorable
Indirect MaterialsDepreciationIndirect LaborMaintenanceSupervisory SalariesUtilitiesProperty Taxes and Insurance				FavorableUnfavorableNeither Favorable nor Unfavorable
$	$	$	FavorableUnfavorableNeither Favorable nor Unfavorable