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*Will rate/thumbs up for correct answers, Thank you!!* ible manutacturin Bumblebee Company estimates that 300,000 direct labor hours will be worked during the coming year,
*Will rate/thumbs up for correct answers, Thank you!!*
ible manutacturin Bumblebee Company estimates that 300,000 direct labor hours will be worked during the coming year, 2017, in the Packaging Department. On this basis, the budgeted are computed for the year overhead cost data, shown below Fixed Overhead Costs Variable Overhead Costs Supervision Depreciation Insurance Rent Property taxes 596,000 72,000 30,000 24,000 18,000 $240,000 Indirect labor Indirect materials Repairs Utilities Lubricants S126,000 90,000 69,000 72,000 18,000 S375,000 It is estimated that direct labor hours worked each month will range from 27,000 to 36,000 hours. During October 27,000 direct labor hours were worked and the following overhead costs were incurred. Fixed overhead costs: supervision $8,000, depreciation S6,000, insurance S2,460, rent $2,000, and property taxes $1,500 Variable overhead costs: indirect labor $12,432, indirect materials $7,680, repairs S6,100, utilities S6,840, and lubricants $1,920. (a) Prepare a monthly manufacturing overhead flexible budget for each increment of 3,000 direct labor hours over the relevant range for the year ending December 31, 2017 (b) Prepare a flexible budget report for October (c) Comment on management's efficiency in controlling manufacturing overhead costs in October NOTE: Enter a number in cells requesting a value; enter either a number or a formula in cells with aStep by Step Solution
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