E9.11 (LO 3), AP Atlanta Company is preparing its manufacturing overhead budget for 2022. Relevant data consist of the following.

Units to be produced (by quarters): 10,000, 12,000, 14,000, 16,000.

Direct labor: time is 1.5 hours per unit.

Variable overhead costs per direct labor hour: indirect materials $0.80, indirect labor $1.20, and maintenance $0.50.

Fixed overhead costs per quarter: supervisory salaries $41,250, depreciation $15,000, and maintenance $12,000.

Instructions

Prepare the manufacturing overhead budget for the year, showing quarterly data.