Refer to DCdesserts$$s activity$-$based flexible budget in Exhibit $11-11.$ Suppose that the company$$s activity in June is described as follows:

Process hours $6,000$

Production runs $16$

New products tested $40$

Direct material handled $($pounds$)30,000$

Required:

$1.$ Determine the flexible budgeted cost for each item in the table below.

$2-$a$.$ Compute the variance for setup cost during the month, assuming that the actual setup cost was $$3,000.$ Use the activity$-$based flexible budget.

$2-$b$.$ Compute the variance for setup cost during the month, assuming that the actual setup cost was $$3,000.$ Use DCdesserts's conventional flexible budget $($Exhibit $11-3).$Metropolitan Dental Associates is a large dental practice in Chicago. The firm's controller is preparing the budget for the

next year. The controller projects a total of $48,000$ office visits, to be evenly distributed throughout the year. Eighty

percent of the visits will be half$-$hour appointments, and the remainder will be one$-$hour visits. The average rates for

professional dental services are $$60$ for half$-$hour appointments and $$115$ for one$-$hour office visits. Ninety percent of each

month's professional service revenue is collected during the month when services are rendered, and the remainder is

collected the month following service. Uncollectible billings are negligible. Metropolitan's dental associates earn $$95$ per

hour.

Metropolitan uses activity$-$based budgeting to budget office overhead and administrative expenses. Two cost drivers are

used: office visits and direct professional labor. The cost$-$driver rates are as follows:

Patient registration and records

All other overhead and administrative expenses

$$3\mathrm{.}00$

$$7\mathrm{.}00$

per office visit $($of any length$)$

per direct professional labor hour

Required:

Prepare the direct$-$professional$-$labor budget schedule for the month of June.

Prepare the budget schedule for cash collections during June for professional services rendered during May and June.

Prepare the overhead and administrative expense budget schedule for the month of June.

Complete this question by entering your answers in the tabs below.

Prepare the overhead and administrative expense budget schedule for the month of June.