Question
Diemert Corporation bases its budgets on machine-hours. The company's static planning budget for June appears below: Budgeted number of machine-hours 5,600 Supplies (@ $9.20 per
Diemert Corporation bases its budgets on machine-hours. The company's static planning budget for June appears below: Budgeted number of machine-hours 5,600 Supplies (@ $9.20 per machine-hour) $51,520 Power (@ $9.30 per machine-hour) 52,080 Salaries 61,600 Equipment depreciation 67,760 Total $232,960 Actual results for the month were: Actual number of machine-hours 5,900 Supplies $49,100 Power $58,630 Salaries $60,680 Equipment depreciation $67,140 Actual results for the month were: The spending variance for equipment depreciation in the flexible budget performance report for the month should be: $4,250 U $620 F $4,250 F $620 U Please show all work! Thanks.
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