I Zelmer Company manufactures tablecloths. Sales have grown rapidly over the past 2 years. As a result, the president has installed a budgetary control system for 2020. The following data were used in developing the master manufacturing overhead budget for the Ironing Department, which is based on an activity index of direct labor hours. Rate per Direct Labor Hour $0.40 Variable costs Indirect labor Indirect materials Factory utilities Factory repairs Annual Fixed Costs Supervision $48,000 Depreciation 18,000 0.50 0.30 Insurance 12.000 0.20 Rent 30,000 The master overhead budget was prepared on the expectation that 480,000 direct labor hours will be worked during the year. In June, 41.000 direct labor hours were worked. At that level of activity, actual costs were as shown below. Variable-per direct labor hour indirect labor $0.44, indirect materials $0.48, factory utilities $0.32, and factory repairs $0.25. Fixed: same as budgeted (a) & (b) Monthly Manufacturing Overhead Flexible Budget Ironing Department For the Year 2020 Activity Level Direct Labor Hours Direct Labor Direct Materials ST Factory Repairs Factory Utilities CELL Insurance > C Fixed Costs Supervision Rent Variable Costs Supervision Indirect Labor Total Variable Costs o Total Costs $ ZELMER COMPANY Ironing Department Manufacturing Overhead Flexible Budget Report For the Month Ended June 30, 2020 Budget Actual Costs Activity Level Direct Labor Direct Labor Hours o S $ S Direct Materials Factory Repairs Factory Utilities Rent IIILT DIT Fixed Costs Indirect Materials Supervision nsurance Pent Total Fixed Costs $ Total Costs