Flexible Budget for Assembly Department

Cabinaire Inc. is one of the largest manufacturers of office furniture in the United States. In Grand Rapids, Michigan, it assembles filing cabinets in an Assembly Department. Assume the following information for the Assembly Department:

Direct labor per filing cabinet	30 minutes
Supervisor salaries	$144,000 per month
Depreciation	$18,000 per month
Direct labor rate	$12 per hour

Prepare a flexible budget for 13,000, 16,000, and 20,000 filing cabinets for the month of August in the Assembly Department, similar to Exhibit 5. Assuming that inventories are not significant. Enter all amounts as positive numbers.

CABINAIRE INC-ASSEMBLY DEPARTMENT
Flexible Production Budget
For the Month Ending August 31 (assumed data)
Units of production	13,000	16,000	20,000
Variable cost:
Direct labor	$fill in the blank 1	$fill in the blank 2	$fill in the blank 3
Total variable cost	$fill in the blank 4	$fill in the blank 5	$fill in the blank 6
Fixed cost:
Supervisor salaries	$fill in the blank 7	$fill in the blank 8	$fill in the blank 9
Depreciation	fill in the blank 10	fill in the blank 11	fill in the blank 12
Total fixed cost	$fill in the blank 13	$fill in the blank 14	$fill in the blank 15
Total department cost	$fill in the blank 16	$fill in the blank 17	$fill in the blank 18