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Flexible overhead budget

Wiki Wiki Company has determined that the variable overhead rate is $3.70 per direct labor hour in the Fabrication Department. The normal production capacity for the Fabrication Department is 15,000 hours for the month. Fixed costs are budgeted at $88,500 for the month.

This information has been collected in the Microsoft Excel Online file. Open the spreadsheet, perform the required analysis, and input your answers in the questions below.

Open spreadsheet

a. Prepare a monthly factory overhead flexible budget for 13,000, 15,000, and 17,000 hours of production.

Line Item Description	Amount	Amount	Amount
Direct labor hours	13,000	15,000	17,000
Variable factory overhead cost	$fill in the blank 2	$fill in the blank 3	$fill in the blank 4
Fixed factory overhead cost	fill in the blank 5	fill in the blank 6	fill in the blank 7
Total factory overhead cost	$fill in the blank 8	$fill in the blank 9	$fill in the blank 10

b. How much overhead would be applied to production if 13,000 hours were used in the department during the month? Round your answer to the nearest dollar. fill in the blank 1 of 1$