WIKI WIKI COMPANY, Flexible Overhead Budget Instructions: A. Prepare a monthly factory overhead flexible budget for 9,000, 10,000 and 11,000 direct labor hours of production. B. How much overhead would be applied to production if 9,000 hours were used in the department during the month? Wiki Wiki Company Monthly Factory Overhead Cost Budget-Fabrication Department Direct labor hours 9,000 10,000 11,000 Variable factory overhead cost Fixed factory overhead cost Total factory overhead cost B. Overhead applied at actual production: Actual hours................. x Overhead application rate............. Factory overhead applied.................. * Total factory overhead rate to be applied to production: Variable factory overhead................................... Fixed factory overhead".............................. Total... .. ... ... $60,000 - Fixed factory overhead rate : 10.000 hrs. = $6.00 perhr. Note: The fixed factory overhead rate is determined at normal production. E- Focus Chapter 8: Evaluating Variances from Standard Costs B. $94,500 EX 8-14 Flexible overhead budget Obj. 4 Wiki Wiki Company has determined that the variable overhead rate is $4.50 per direct labor hour in the Fabrication Department. The normal production capacity for the Fabrication De partment is 10,000 hours for the month. Fixed costs are budgeted at $60,000 for the month. A. Prepare a monthly factory overhead flexible budget for 9,000, 10,000, and 11,000 hours of production. B. How much overhead would be applied to production if 9,000 hours were used in the de partment during the month