Durham Company uses a responsibility reporting system. It has divisions in Denver, Seattle, and San Diego. Each division has three production departments: Cutting, Shaping, and Finishing. The responsibility for each department rests with a manager who reports to the division production manager. Each division manager reports to the vice president of production. There are also vice presidents for marketing and finance. All vice presidents report to the president. In January 2017, controllable actual and budget manufacturing overhead cost data for the departments and divisions were as shown below.

Manufacturing Overhead		Actual		Budget
Individual costsCutting DepartmentSeattle
Indirect labor		$73,200		$69,800
Indirect materials		48,100		45,600
Maintenance		20,500		17,700
Utilities		20,200		16,700
Supervision		22,100		19,700
		$184,100		$169,500

Total costs
Shaping DepartmentSeattle		$158,000		$148,700
Finishing DepartmentSeattle		212,000		204,400
Denver division		678,300		673,400
San Diego division		722,300		715,100

Additional overhead costs were incurred as follows: Seattle division production manageractual costs $52,600, budget $51,500; vice president of productionactual costs $65,000, budget $63,500; presidentactual costs $76,400, budget $73,800. These expenses are not allocated. The vice presidents who report to the president, other than the vice president of production, had the following expenses.

Vice President		Actual		Budget
Marketing		$134,000		$130,000
Finance		108,700		105,000

Prepare the Manufacturing overheadCutting Department managerSeattle division responsibility report.

To Cutting Department Manager	-Seattle Division		Month:	January
Controllable costs:	Budget	Actual	Difference	Favorable,Not, Neither

Total

Prepare the Manufacturing overheadSeattle division manager responsibility report.

Rank the comparative performances of department managers in the Seattle Division.

Prepare the Manufacturing overheadvice president of production responsibility report.

Rank the comparative performances of division managers.

Prepare the Manufacturing overhead and expensespresident responsibility report.

Rank the comparative performances of vice presidents.