The manufacturing overhead budget for Fleming Company contains the following items.

Variable costs						Fixed costs
	Indirect materials			$22,880			Supervision			$17,700
	Indirect labor			12,480			Inspection costs			1,000
	Maintenance expense			10,400			Insurance expense			2,100
	Manufacturing supplies			6,240			Depreciation			15,600
		Total variable		$52,000				Total fixed		$36,400

The budget was based on an estimated 2,080 units being produced. During the past month, 1,560 units were produced, and the following costs incurred.

Variable costs						Fixed costs
	Indirect materials			$23,400			Supervision			$19,100
	Indirect labor			14,000			Inspection costs			1,200
	Maintenance expense			8,500			Insurance expense			2,300
	Manufacturing supplies			5,200			Depreciation			15,300
		Total variable		$51,100				Total fixed		$37,900

The manufacturing overhead budget for Fleming Company contains the following items.

Variable costs						Fixed costs
	Indirect materials			$22,880			Supervision			$17,700
	Indirect labor			12,480			Inspection costs			1,000
	Maintenance expense			10,400			Insurance expense			2,100
	Manufacturing supplies			6,240			Depreciation			15,600
		Total variable		$52,000				Total fixed		$36,400

Prepare a responsibility report. Include only the costs that would have been controllable by Mr. Bedner. Assume that the supervision cost above includes Mr. Bedner's salary of $10,000, both at budget and actual. FLEMING COMPANY Production Department Manufacturing Overhead Responsibility Report For the Month Ended Difference Favorable Unfavorable Neither favorable nor unfavorable Controllable Cost Budget Actual $ $ Total