The production supervisor of the Painting Department fer Whitley Comiperly agreed to the following monthly stelic budget for the upcoming year: WHITLEY COMPANY Painting Department Monthly Production Budget Wages 6507,10x1 Utilities 26,000 Depreciation 61.000 Total 5X12, XXI The actual amount spent and the actual units produced in the first three months in the Painting Department were as follows: Amount Spent Units Produced $851,000 74,000 January 818,000 68,000 February March 775,000 61,000 The Painting Department supervisor has been very pleased with this performance, since actual expenditures have been less than the monthly budget. However, the plant manager believes that the budget should not remain fixed for every month but should lex" or edjust to the volume of work that is produced in the Painting Depertment. Additional budget information for the Painting Department is as follows: Viages per hour 20.00 Unity cost per direct lahor hour SCI. Direct labor hours per unit 0.50 hrs. Planned unit production 81,000 units a. Prepare a flexible budget for the actual units praduced for January, February, and March in the Painting Department. Assume depreciation is a fixed cost. Enter all amounts as positive numbers. If required, round per unit amounts to the nearest cent. WHITLEY COMPANY Painting Department For the Three Months Ending March 31 January February March Units of production 74.000 53,000 51.000 Wages Utilities Depreciation Total Fwww. Check My a. For each level of production, show wages, utilities, and depreciation. Calculate the total wages by multiply ng number of units produced by hours per unit, then by wages per hour. Calculate the total utilites by multiplying the total hours of production by the ully cost per hour. b. Compare the flexible budget with the actual expenditures for the first three months. January February March Actual cast Total flexible budget Excess of actual cost over budget What does this compansan suggest? Has the Painting Department performed better than originally thought? No Is the department spending more than expected? Yes