Problem 25-01A a-b Waterway Company estimates that 362,200 direct labor hours will be worked during the coming year, 2020, in the Packaging Department. On this basis, the following budgeted manufacturing overhead cost data are computed for the year. Fixed Overhead Costs Variable Overhead Costs Indirect labor Supervision Depreciation Insurance $93,840 71,520 24,360 19,920 15,960 $225,600 Indirect materials Repairs Utilities Lubricants $159,368 94,172 50,708 54,330 25,354 $383,932 Rent Property taxes It is estimated that direct labor hours worked each month will range from 28,000 to 38,500 hours. During October, 28,000 direct labor hours were worked and the following overhead costs were incurred. Fixed overhead costs: Supervision $7,820, Depreciation $5,960, Insurance $1,985, Rent $1,660, and Property taxes $1,330. Variable overhead costs: Indirect labor $13,310, Indirect materials, $6,940, Repairs $3,880, Utilities $4,560, and Lubricants $2,360. (a) Prepare a monthly manufacturing overhead flexible budget for each increment of 3,500 direct labor hours over the relevant range for the year ending December 31, 2020. (List variable costs before fixed costs.) WATERWAY COMPANY Packaging Department Monthly Manufacturing Overhead Flexible Budget For the Year 2020 $ $ $ > $ $ (b) Prepare a flexible budget report for October. (List variable costs before fixed costs.) WATERWAY COMPANY Packaging Department Manufacturing Overhead Flexible Budget Report For the Month Ended October 31, 2020 Difference Favorable Unfavorable Neither Favorable nor Unfavorable Budget Actual Costs $ $ > $