Exercise 9-16 (Algo) Flexible Budgets in a Cost Center (LO9-1, LO9-2) Packaging Solutions Corporation manufactures and sells a wide variety of packaging products. Performance reports are pred monthly for each department. The planning budget and flexible budget for the Production Department are based on the following formulas, where is the number of labor hours worked in a month Cost Formulas Direct labor Indirect labor $16.200 $4,600 . 51.609 Utilities 55,100 + $0.400 Supplies Equipment depreciation $1,700 - $0.400 $18,200 - 12.800 Factory rent 18,300 Property taxes 12.00 Factory administration $13,600 50.800 The Production Department planned to work 4,300 labor hours in March however, it actually worked 4300 labor hours during the month. Its actual costs incurred in March are listed below. Actual Cost Incurred in March Direct labor $67,980 Indirect labor $ 10,660 Utilities $ 7,210 Supplies $ 3,630 Equipment depreciation $ 29,680 Factory rent $ 3,700 Property taxes 52,800 Factory administration $ 16,270 Required: Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Prepare the Production Department's planning budget for the month, Packaging Solutions Corporation Production Department Planning Budget For the Month Ended March 31 Direct labor Indirect labor Utilities Supplies Equipment depreciation Factory rent Property taxes Factory administration Total expense Required 2 > pete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Prepare the Production Department's flexible budget for the month. Packaging Solutions Corporation Production Department Flexible Budget For the Month Ended March 31 Direct labor Indirect labor Utilities Supplies Equipment depreciation Factory rent Property taxes Factory administration Total expense Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Calculate the spending variances for all expense Items. (Indicate the effect of each variance by selecting "P" for favorable, for unfavorable, and "None" for no effect (ie, zero variance), Input all amounts as positive values.) Packaging Solutions Corporation Spending Variances For the Month Ended March 31 Actual Spending Variances Flexible Results Budget Labor hours 4,100 Direct labor $ 67.980 Indirect labor 10,660 Utilities 7.210 Supplies 3,630 Equipment depreciation 29,680 Factory rent 8,700 Property taxes 2,800 Factory administration 16,270 Total expense $ 146,930 Thu