Waterways Corporation is continuing its budget preparations. Waterways had the following static budget and overhead costs for March 2017.

WATERWAYS CORPORATION Manufacturing Overhead Budget (Static) For the Month of March 2017
Budgeted production in units	117,500
Budgeted costs
Indirect materials	$5,875
Indirect labor	14,100
Utilities	11,750
Maintenance	8,225
Salaries	42,000
Depreciation	16,800
Property taxes	3,000
Insurance	1,200
Janitorial	1,500
Total budgeted costs	$104,450

WATERWAYS CORPORATION Manufacturing Overhead Costs (Actual) For the Month of March 2017
Production in units	118,500
Costs
Indirect materials	$5,910
Indirect labor	14,195
Utilities	11,880
Maintenance	8,275
Salaries	42,000
Depreciation	16,800
Property taxes	3,000
Insurance	1,200
Janitorial	1,500
Total costs	$104,760

Waterways produced 118,500 units in March rather than the budgeted number of units.

(a)

	Your answer is partially correct. Try again.

Prepare a flexible overhead budget based on the following amounts produced.(Round unit costs to 2 decimal places, e.g. 2.25. List variable costs before fixed costs.)

(1)	115,500 units
(2)	116,500 units
(3)	117,500 units
(4)	118,500 units
(5)	119,500 units

WATERWAYS CORPORATION Manufacturing Overhead Flexible Budget For the Month of March 2017
DepreciationIndirect LaborIndirect MaterialsInsuranceJanitorialMaintenanceProduction in UnitsProperty TaxesSalariesTotal Budgeted CostsUtilitiesTotal Fixed CostsFixed CostsTotal Variable CostsVariable Costs
DepreciationIndirect LaborIndirect MaterialsInsuranceJanitorialMaintenanceProduction in UnitsProperty TaxesSalariesTotal Budgeted CostsUtilitiesVariable CostsTotal Variable CostsFixed CostsTotal Fixed Costs
DepreciationIndirect LaborIndirect MaterialsInsuranceJanitorialMaintenanceProduction in UnitsProperty TaxesSalariesTotal Budgeted CostsUtilitiesVariable CostsTotal Variable CostsFixed CostsTotal Fixed Costs	$	$	$	$	$
DepreciationIndirect LaborIndirect MaterialsInsuranceJanitorialMaintenanceProduction in UnitsProperty TaxesSalariesTotal Budgeted CostsUtilitiesTotal Fixed CostsFixed CostsTotal Variable CostsVariable Costs
DepreciationIndirect LaborIndirect MaterialsInsuranceJanitorialMaintenanceProduction in UnitsProperty TaxesSalariesTotal Budgeted CostsUtilitiesVariable CostsTotal Variable CostsFixed CostsTotal Fixed Costs
DepreciationIndirect LaborIndirect MaterialsInsuranceJanitorialMaintenanceProduction in UnitsProperty TaxesSalariesTotal Budgeted CostsUtilitiesTotal Fixed CostsFixed CostsTotal Variable CostsVariable Costs
DepreciationIndirect LaborIndirect MaterialsInsuranceJanitorialMaintenanceProduction in UnitsProperty TaxesSalariesTotal Budgeted CostsUtilitiesVariable CostsTotal Variable CostsFixed CostsTotal Fixed Costs
DepreciationIndirect LaborIndirect MaterialsInsuranceJanitorialMaintenanceProduction in UnitsProperty TaxesSalariesTotal Budgeted CostsUtilitiesVariable CostsTotal Variable CostsFixed CostsTotal Fixed Costs
DepreciationIndirect LaborIndirect MaterialsInsuranceJanitorialMaintenanceProduction in UnitsProperty TaxesSalariesTotal Budgeted CostsUtilitiesTotal Variable CostsFixed CostsTotal Fixed CostsVariable Costs
DepreciationIndirect LaborIndirect MaterialsInsuranceJanitorialMaintenanceProduction in UnitsProperty TaxesSalariesTotal Budgeted CostsUtilitiesVariable CostsTotal Variable CostsFixed CostsTotal Fixed Costs
DepreciationIndirect LaborIndirect MaterialsInsuranceJanitorialMaintenanceProduction in UnitsProperty TaxesSalariesTotal Budgeted CostsUtilitiesTotal Fixed CostsFixed CostsTotal Variable CostsVariable Costs
DepreciationIndirect LaborIndirect MaterialsInsuranceJanitorialMaintenanceProduction in UnitsProperty TaxesSalariesTotal Budgeted CostsUtilitiesVariable CostsTotal Variable CostsFixed CostsTotal Fixed Costs
DepreciationIndirect LaborIndirect MaterialsInsuranceJanitorialMaintenanceProduction in UnitsProperty TaxesSalariesTotal Budgeted CostsUtilitiesTotal Fixed CostsFixed CostsTotal Variable CostsVariable Costs
DepreciationIndirect LaborIndirect MaterialsInsuranceJanitorialMaintenanceProduction in UnitsProperty TaxesSalariesTotal Budgeted CostsUtilitiesVariable CostsTotal Variable CostsFixed CostsTotal Fixed Costs
DepreciationIndirect LaborIndirect MaterialsInsuranceJanitorialMaintenanceProduction in UnitsProperty TaxesSalariesTotal Budgeted CostsUtilitiesVariable CostsTotal Variable CostsFixed CostsTotal Fixed Costs	$	$	$	$	$

SHOW SOLUTION SHOW ANSWER

LINK TO TEXT LINK TO TEXT LINK TO TEXT LINK TO TEXT

Attempts: 3 of 3 used

(b)Prepare a flexible budget report showing the differences (favorable and unfavorable) in manufacturing overhead costs for the month of March.(List vairble costs before fixed costs. Do not leave any answer field blank. Enter 0 for amounts.)

WATERWAYS CORPORATION Manufacturing Overhead Flexible Budget Report For the Month of March 2017
Budget	Actual	Favorable Unfavorable Neither Favorable nor Unfavorable
DepreciationIndirect LaborIndirect MaterialsInsuranceJanitorialMaintenanceProduction in UnitsProperty TaxesSalariesTotal Budgeted CostsUtilitiesTotal Fixed CostsFixed CostsTotal Variable CostsVariable Costs
DepreciationIndirect LaborIndirect MaterialsInsuranceJanitorialMaintenanceProduction in UnitsProperty TaxesSalariesTotal Budgeted CostsUtilitiesVariable CostsTotal Variable CostsFixed CostsTotal Fixed Costs
DepreciationIndirect LaborIndirect MaterialsInsuranceJanitorialMaintenanceProduction in UnitsProperty TaxesSalariesTotal Budgeted CostsUtilitiesVariable CostsFixed CostsTotal Variable CostsTotal Fixed Costs	$	$	$	FavorableUnfavorableNeither Favorable nor Unfavorable
DepreciationIndirect LaborIndirect MaterialsInsuranceJanitorialMaintenanceProduction in UnitsProperty TaxesSalariesTotal Budgeted CostsUtilitiesTotal Fixed CostsFixed CostsTotal Variable CostsVariable Costs				FavorableUnfavorableNeither Favorable nor Unfavorable
DepreciationIndirect LaborIndirect MaterialsInsuranceJanitorialMaintenanceProduction in UnitsProperty TaxesSalariesTotal Budgeted CostsUtilitiesVariable CostsTotal Variable CostsFixed CostsTotal Fixed Costs				FavorableUnfavorableNeither Favorable nor Unfavorable
DepreciationIndirect LaborIndirect MaterialsInsuranceJanitorialMaintenanceProduction in UnitsProperty TaxesSalariesTotal Budgeted CostsUtilitiesTotal Fixed CostsTotal Variable CostsFixed CostsVariable Costs				FavorableUnfavorableNeither Favorable nor Unfavorable
DepreciationIndirect LaborIndirect MaterialsInsuranceJanitorialMaintenanceProduction in UnitsProperty TaxesSalariesTotal Budgeted CostsUtilitiesVariable CostsTotal Variable CostsFixed CostsTotal Fixed Costs				FavorableUnfavorableNeither Favorable nor Unfavorable
DepreciationIndirect LaborIndirect MaterialsInsuranceJanitorialMaintenanceProduction in UnitsProperty TaxesSalariesTotal Budgeted CostsUtilitiesVariable CostsTotal Variable CostsFixed CostsTotal Fixed Costs
DepreciationIndirect LaborIndirect MaterialsInsuranceJanitorialMaintenanceProduction in UnitsProperty TaxesSalariesTotal Budgeted CostsUtilitiesTotal Fixed CostsFixed CostsTotal Variable CostsVariable Costs				FavorableUnfavorableNeither Favorable nor Unfavorable
DepreciationIndirect LaborIndirect MaterialsInsuranceJanitorialMaintenanceProduction in UnitsProperty TaxesSalariesTotal Budgeted CostsUtilitiesVariable CostsTotal Variable CostsFixed CostsTotal Fixed Costs				FavorableUnfavorableNeither Favorable nor Unfavorable
DepreciationIndirect LaborIndirect MaterialsInsuranceJanitorialMaintenanceProduction in UnitsProperty TaxesSalariesTotal Budgeted CostsUtilitiesTotal Fixed CostsFixed CostsTotal Variable CostsVariable Costs				FavorableUnfavorableNeither Favorable nor Unfavorable
DepreciationIndirect LaborIndirect MaterialsInsuranceJanitorialMaintenanceProduction in UnitsProperty TaxesSalariesTotal Budgeted CostsUtilitiesVariable CostsTotal Variable CostsFixed CostsTotal Fixed Costs				FavorableUnfavorableNeither Favorable nor Unfavorable
DepreciationIndirect LaborIndirect MaterialsInsuranceJanitorialMaintenanceProduction in UnitsProperty TaxesSalariesTotal Budgeted CostsUtilitiesTotal Fixed CostsFixed CostsTotal Variable CostsVariable Costs				FavorableUnfavorableNeither Favorable nor Unfavorable
DepreciationIndirect LaborIndirect MaterialsInsuranceJanitorialMaintenanceProduction in UnitsProperty TaxesSalariesTotal Budgeted CostsUtilitiesVariable CostsTotal Variable CostsFixed CostsTotal Fixed Costs				FavorableUnfavorableNeither Favorable nor Unfavorable
DepreciationIndirect LaborIndirect MaterialsInsuranceJanitorialMaintenanceProduction in UnitsProperty TaxesSalariesTotal Budgeted CostsUtilitiesVariable CostsTotal Variable CostsFixed CostsTotal Fixed Costs	$	$	$	FavorableUnfavorableNeither Favorable nor Unfavorable