Cody Co. developed its annual manufacturing overhead budget for its master budget for 2019 as follows: Expected annual operating capacity 120,000 Direct Labor Hours Variable overhead costs Indirect labor $600,000 Indirect materials 120,000 Factory supplies 60,000 Total 780,000 variable Fixed overhead costs Depreciation Supervision Property taxes 240,000 120,000 96,000 Total 456,000 fixed Total costs $1,236,000 The relevant range for monthly activity is expected to be between 8,000 and 12,000 direct labor hours. Prepare a flexible budget for a monthly activity level of 8,000 and 9,000 direct labor hours. (List variable costs before fixed costs.) CODY CO. Monthly Flexible Manufacturing Overhead Budget Activity level Direct labor hours 8,000 Indirect Labor v $ 40000 Indirect Materials Factory Supplies: Total Costs Fixed Costs 8000 9,000 69 $ 45000 9000 4000 4500 52000 58500 Depreciation 20000 20000 Supervision 12000 12000 Direct labor hours 8,000 9,000 Maintenance Factory Supplies 40000 $ IA 45000 Indirect Materials Depreciation 8000 9000 Indirect Labor Supervision Variable Costs 4000 4500 Total Variable Costs Total Costs 52000 58500 Property Taxes Total Fixed Costs Depreciation Supervision 20000 20000 12000 12000 Property Taxes 8000 8000 Total Fixed Costs 40000 40000 Total Costs $ 92000 $ +A 98500