In an attempt to improve budgeting, the controller for Engersol, Inc., has developed a flexible budget for overhead costs. Engersol, Inc., makes two types of products, commercial floor cleaners and household floor cleaners. The company expects to produce $400,000$ units of the commercial cleaner and $110,000$ units of the household cleaner during the coming year. The commercial cleaner requires $0\mathrm{.}05$ direct labor hour per unit, and the household cleaner requires $0\mathrm{.}08.$ The controller has developed the following cost formulas for each of the four overhead items: Cost Formula Maintenance $$34,600+$ $$1\mathrm{.}25$ DLH Power $$0\mathrm{.}50$ DLH Indirect labor $$68,200+$ $$2\mathrm{.}30$ DLH Rent $$31,100$ Required: Question Content Area $1.$ Prepare an overhead budget for the expected activity level for the coming year. Engersol, Inc.