Exercise 14-4 (Part Level Submission) Concord Company uses a flexible budget for manufacturing overhead based on direct labor hours. Variable manufacturing overhead costs per direct labor hour are as follows. Indirect labor Indirect materials Utilities $1.10 0.70 0.40 Fixed overhead costs per month are Supervision $4,100, Depreciation $2,000, and Property Taxes $500. The company believes it will normally operate in a range of 7,100-12,800 direct labor hours per month. Assume that in July 2017, Concord Company incurs the following manufacturing overhead costs. $4,100 Variable Costs Indirect labor Indirect materials Utilities $11,710 7,460 3,860 Fixed Costs Supervision Depreciation Property taxes 2,000 500 (a) Your answer is correct. Prepare a flexible budget performance report, assuming that the company worked 10,900 direct labor hours during the month. (List variable costs before fixed costs.) CONCORD COMPANY Manufacturing Overhead Flexible Budget Report For the Month Ended July 31, 2017 Difference Favorable/Unfavorable Budget Actual Costs Neither Favorable nor Unfavorable Budget Actual Costs Favorable/Unfavorable Neither Favorable nor Unfavorable Direct Labor Hours 4 10900 10900 Variable Costs Indirect Labor 11990 11710 280 Favorable Indirect Materials 7630 7460 170 Favorable Utilities 4 4360 3860 500 Favorable T Total Variable Costs 23980 23030 950 Favorable Fixed Costs Supervision 4100 4100 0 Neither Favorable nor Unfavorable Depreciation 4 2000 2000 0 Neither Favorable nor Unfavorable Property Taxes 500 500 0 Neither Favorable nor Unfavorable Total Fixed Costs 6600 6600 0 Neither Favorable nor Unfavorable Total Costs 30580 29630 950 Favorable $1 Prepare a flexible budget performance report, assuming that the company worked 10,300 direct labor hours during the month. CONCORD COMPANY Manufacturing Overhead Flexible Budget Report Difference Favorable/Unfavorable Neither Favorable nor Unfavorable Budget Actual Costs Difference Favorable/Unfavorable Neither Favorable nor Unfavorable Budget Actual Costs $ $