Flexible budgets; predetermined OH rates The Splash makes large fiberglass swimming pools and uses machine hours and direct labor hours to apply overhead in the Production and Installation departments, respectively. The monthly cost formula for overhead in Production is y $7,950 $4,05 MH; the overhead cost formula in Installation is y-$6,150 $14.25 DLH These formulas are valid for a relevant range of activity up to 2,400 machine hours in Production and 3,600 direct labor hours in Installation. Each pool is estimated to require 25 machine hours in Production and 60 hours of direct labor in Installation. Expected capacity for the year is 48 pools. a. Prepare a flexible budget for Production at possible annual capacities of 1,000, 1,200, and 1,400 machine hours, ACTIVITY IN MHS Low 1,000 1,200 High 1,400 Production overhead costs variable Fixed Total b. Prepare a flexible budget for installation at possible annual capacities of 2,400, 2,800, and 3,200 machine hours ACTIVITY IN MH Production overhead costs Variable Fixed Total Low 2,400 High 2.800 3.200 c. Prepare a budget for next month's variable, fixed, and total overhead costs for each department assuming that expected production is 3 pools Production costs Variable Fixed (monthly amount) Total production overhead Installation costs Variable Fixed (monthly amount) Total installation Total $ $ d. Calculate the total overhead cost to be applied to each pool scheduled for production in the coming month if expected capacity is used to calculate the predetermined OH rates. Note: Round costs per DLH to two decimal places (ie. round $4.355 to $4.36). Flexible budgets; predetermined OH rates The Splash makes large fiberglass swimming pools and uses machine hours and direct labor hours to apply overhead in the Production and Installation departments, respectively. The monthly cost formula for overhead in Production is y $7.950 $4.05 MH; the overhead cost formula in Installation is y-$6,150 $14.25 DLH. These formulas are valid for a relevant range of activity up to 2.400 machine hours in Production and 3,600 direct labor hours in Installation Each pool is estimated to require 25 machine hours in Production and 60 hours of direct labor in Installation. Expected capacity for the year is 48 pools A Prepare a flexible budget for Production at possible annual capacities of 1,000, 1,200, and 1,400 machine hours ACTIVITY IN M 1,000 1,200 High 1,400 Production werhead costs Fed Total b. Prepare a flexible budget for installation at possible annual capacities of 2.400, 2,800, and 3.200 machine hours ACTIVITY IN M Production overhead Variable Flod High 2.400 2.800 3,200 Prepare a budget for next month's variable, fixed, and total overhead costs for each department assuming that expected production is 3 pools Production costs Variable Faed (monthly amount Total production overhead Installation costs Vanable Fixed (monthly amount Total instalacion Total 3 d. Calculate the total overhead cost to be applied to each pool scheduled for production in the coming month if expected capacity is used to calculate the predetermined OH rates Note: Round costs per DLH to two decimal places (ie. round $4.355 to $4.36)