For a manufacturing cost center where overhead costs are planned, the following tasks need to be addressed:

a) Determine the planned activity level for this cost center, where with an actual monthly activity of 1,000 hours, the allocated planned costs are 25,000 per month, and the standard costs are 33,400 per month. Fixed costs amount to 22,400 per month.

b) Calculate the planned costs and standard costs for the planned activity level.

I can also provide you the solution for a and b) and additional tip for a) i just need the solution path: For a) you need to equating the cost budget function with the function of allocated budgeted costs to get to 1.600hours.

Answers: a) 1.600 hours b) 40.000