ns Ex 21-3 Question 1 of B eBook The production supervisor of the Machining Department for Gilman Company agreed to the following monthly static budget for the upcoming year: ning Department Monthly Production Budget $450,000 54,000 $564,000 The actual amount spent and the actual units produced in the first three months of 2014 in the Machining Department were as follows: January February March Amount Spent $450,000 492,000 540,000 100,000 110,000 The Machining Department supervisor has been very plessed with this performance, since actual expenditures have ben less than the monthly budget. However, the plant manager believes that the budget should not remain fixed for every month but should "flex or adjust to the volume of work Additional budget information for the Machining Department is as follows: that is produced in the Machining Department Wages per hour Utility cost per direct labor hour Direct labor hours per unit Planned monthly unit production $15.00 $180 0.25 120,000