De LM CALCULATOR PRI Problem 10-3A a, b, c (Part Level Submission) (Video) Ratchet Company uses budgets in controlling costs. The August 2020 budget report for the company's Assembling Department is as follows. RATCHET COMPANY Budget Report Assembling Department For the Month Ended August 31, 2020 Difference Favorable Unfavorable Neither Favorable nor Unfavorable Manufacturing Costs Budget Actual Variable costs Direct materials Direct labor Indirect materials Indirect labor Utilities Maintenance Total variable Fixed costs Rent Supervision Depreciation $49,600 $48,500 $1,100 Favorable 57,040 54,040 3,000 Favorable 27,280 27,580300 Unfavorable 22,320 21,910 410 Favorable 15,500 15,390 110 Favorable 7,440 7,630 190 Unfavorable 179,180 175,050 4,130 Favorable 11,500 11,500 17,100 17,100 7,100 7,100 35,700_35.700 -0- Neither Favorable nor Unfavorable -0- Neither Favorable nor Unfavorable -0- Neither Favorable nor Unfavorable -0Neither. Favorable ner Unfavorable Total fixed CALCULATOR PRINTER VERSION BAC Neither Favorable Manufacturing Costs Budget Actual nor Unfavorable Variable costs Direct materials $49,600 $48,500 $1,100 Favorable Direct labor 57,040 54,040 3,000 Favorable Indirect materials 27,280 27,580300 Unfavorable Indirect labor 22,320 21,910 410 Favorable Utilities 15,500 15,390 110 Favorable Maintenance 7,440 7,630 190 Unfavorable Total variable 179,180 175,050 4,130 Favorable Fixed costs Rent 11,500 11,500 -0-Neither Favorable nor Unfavorable Supervision 17,100 17,100 -0-Neither Favorable nor Unfavorable Depreciation 7,100 7,100 -- Neither Favorable nor Unfavorable Total fixed 35,700 35,700 -- Neither Favorable nor Unfavorable Total costs $214,880 $210,750 $4,130 Favorable The monthly budget amounts in the report were based on an expected production of 62,000 units per month or 744,000 units per year. The Assembling Department manager is pleased with the report and expects a raise, or at least praise for a job well done. The company president, however, is unhappy with the results for August because only 60,000 units were produced. Y fal (hi CALCULATOR PA (a) & (b) (a) State the total monthly budgeted cost formula. (Round cost per unit to 2 decimal places, e.g. 1.25.) The formula is + variable costs of $ per unit. (b) Prepare a budget report for August using flexible budget data. (List variable costs before fixed costs.) RATCHET COMPANY Assembling Department Flexible Budget Report For the Month Ended August 31, 2020 Difference Favorable Unfavorable Neither Favorable nor Unfavorable Budget Actual Costs CALCU Click if you would like to Show Work for this question: Open Show Work