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The Maintenance department of a firm has fixed costs of 40,000 and variable costs of els per maintenance hour supplied to other divisions. The Maintenance

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The Maintenance department of a firm has fixed costs of 40,000 and variable costs of els per maintenance hour supplied to other divisions. The Maintenance department expects to NE 8.3 Basic Steps of Cost Allocation LO 6 supply 1,000 hours of maintenance during the coming year. What is the application rate per maintenance hour supplied? What is the marginal cost of another maintenance hour? NE 8.4 Basic Steps of Cost Allocation LO 6 What is the application rate in NE 8.3, if 2,000 maintenance hours are supplied and there is no effect on fixed costs NE 8.5 Basic Steps of Cost Allocation LO 6 Use the data in NE 8.3. How are maintenance costs allocated to production departments A. B, and C, which use 200, 300 and 500 hours of maintenance, respectively? A company had the following budgeted and actual results during the year: NE 7.6 Variance Analysis LO 1 Revenues Cost of Goods Sold General administration Budgeted 200,000 (100,000) (20,000) (50,000) 30,000 Actual 210,000 175,000) (18,000) (85,000) 32,000 Selling expenses Profit Perform a variance analysis and identify variances that should be investigated

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