Flexible Overhead Budget

Wiki Wiki Company has determined that the variable overhead rate is $2.4 per direct labor hour in the Fabrication Department. The normal production capacity for the Fabrication Department is 13,000 hours for the month. Fixed costs are budgeted at $49,400 for the month.

a. Prepare a monthly factory overhead flexible budget for 12,000, 13,000, and 14,000 hours of production. Enter all amounts as positive numbers.

Wiki Wiki Company
Monthly Factory Overhead Cost Budget-Fabrication Department
Direct labor hours	12,000	13,000	14,000
Variable factory overhead cost	$	$	$
Fixed factory overhead cost
Total factory overhead cost	$	$	$

b. How much overhead would be applied to production if 14,000 hours were used in the department during the month? If required, round your calculations to two decimal places and your final answer to the nearest dollar. $