?Thome Company uses a flexible budget for manufacturing overhead based on direct labor hours. Variable manufacturing overhead costs per direct labor hour are as follows.

Thome Company uses a flexible budget for manufacturing overhead based on direct labor hours. Variable manufacturing overhead costs per direct labor hour are as follows. Indirect labor Indirect materials Utilities $1.40 0.90 0.30 Fixed overhead costs per month are supervision $4,220, depreciation $1,807, and property taxes $644. The company believes it will normally operate in a range of 5,600-8,900 direct labor hours per month. Assume that in July 2014, Thome Company incurs the following manufacturing overhead costs. Variable Costs Fixed Costs Indirect labor Indirect materials Utilities $10,716 Supervision 6,857 Depreciation 1,907 Property taxes $4,220 1,807 644 (a) Prepare a flexible budget performance report, assuming that the company worked 7,800 direct labor hours during the month. (List variable costs before fixed costs.)