Question
Kerekes Manufacturing Corporation has prepared the following overhead budget for next month. Activity Level - 2500 Machine Hours - Variable Overhead Cost: Supplies 12,250 Indirect
Kerekes Manufacturing Corporation has prepared the following overhead budget for next month. Activity Level - 2500 Machine Hours - Variable Overhead Cost: Supplies 12,250 Indirect Labor ---22,000 Fixed Overhead: Supervisor 15,500 Utilities -- 5500 Depreciation --- 6500 Total Cost --- 61,750 The company's variable overhead costs are driven by machine-hours. What would be the total budgeted overhead cost for next month if the activity level is 2,400 machine-hours rather than 2,500 machine-hours? Assume that the activity levels of 2,500 machine-hours and 2,400 machine-hours are within the same relevant range. (Points : 2) $59,830.00 $59,280.00 $60,380.00 $61,750.00
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