management accounting

el. c. Comment on management's efficiency in controlling manufacturing overhead costs in U Prepare a flexible budget, budga report, and graph for manufacturing overhead. P11.51B (LO 2, 3) Finesse Company manufactures tablecloths. Sales have grown rapidly over the past two 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. The budget is based on an activity index of direct labour hours. Variable Costs Indirect labour Indirect materials Factory utilities Factory repairs Rate per Direct Labour Hour $0.50 0.75 0.45 0.25 Annual Fixed Costs Supervision $45.000 Depreciation 20,000 Insurance 15.000 Rent 30.000 The company prepared the master overhead budget on the expectation that 600.000 direct labour hours would be worked during the year. In June, 48,000 direct labour hours were worked. At that level of activ- ity, actual costs were as follows: 1. Variable, per direct labour hour-indirect labour $0.53; indirect materials $0.70; factory utilities $0.47; and factory repairs $0.29. 2. Fixed-same as budgeted. getary Control and Responsibility Accounting Instructions repare a monthly flexible manufacturing overhead budget for the year ending December 31, 2020 suming production levels range from 35.000 to 50,000 direct labour hours per month. Use incre. ments of 5,000 direct labour hours. comparing actual results with budgeted data based D. Prepare a budget performance report for June, comparing actual resu on the flexible budget. c. Were costs effectively controlled? Explain. State the formula for calculating the total budgeted costs for Finesse Company. e. Prepare a flexible budget graph, showing total budgeted costs at 35,000 and 45,000 direct labour hours. Use increments of 5.000 direct labour hours on the horizontal axis and increments of S10.000 on the vertical axis. P11.52B (LO 1,2,3) Yaeger Company uses budgets in controlling costs. The company based the monthly induction of 60,000 units per month or 720,000 units per