Hardy, Inc., has budgeted sales in units for the next five months as follows: June 8,200 units July 6,300 units August. 4,700 units September 3,600 units October........... 2,600 units Past experience has shown that the ending inventory for each month should be equal to 20% of the next month's sales in units. The inventory on May 31 contained 1,640 units. The company needs to prepare a production budget for the next five months. The manufacturing overhead budget at Mahapatra Corporation is based on budgeted direct labor-hours. The direct labor budget indicates that 7,900 direct labor-hours will be required in May. The variable overhead rate is $9.50 per direct labor-hour. The company's budgeted fixed manufacturing overhead is $112,970 per month, which includes depreciation of $18,170. All other fixed manufacturing overhead costs represent current cash flows. 5. The May cash disbursements for manufacturing overhead on the manufacturing overhead budget should be: A. $94,800 B. $188,020 C. $169,850 D. $75,050 6. Which of the following would not appear on a flexible budget performance report as shown in the text? A. Mixed costs. B. A flexible budget adjusted to the actual level of activity. C. The previous year's actual costs. D. Variable costs