Marchant Company's flexible budget (in condensed form) is given below: E11-5 Overhead Costs Variable costs Fixed costs. Total overhead costs Cost Formula (per hour) $2.40 Machine-Hours 10,000 15,000 20,000 $ 24,000 $ 36,000 $ 48,000 90,000 90,000 90,000 $114,000 $126,000 $138,000 a. For 19x5, the company chose 15,000 machine-hours as the denominator activity level Actual overhead costs incurred during 19x5 were: variable overhead, $34,800; and The following information is available for 19x5: for computing the predetermined overhead rate, b. During 19x5, the company produced 7,250 units of product and worked 14,600 actual fixed overhead, $90,650. Required 1. Compute the predetermined overhead rate used during 19x5. Divide it into fixed and variable elements. 2. Compute the standard hours allowed for the output of 19x5. 3. Compute the fixed overhead budget and volume variances for 19x5. c