WORK 1 Seved You have just been hired by FAB Corporation, the manufacturer of a revolutionary new garage door opening device. The president has asked that you review the company's costing system and "do what you can to help us get better control of our manufacturing overhead costs." You find that the company has never used a flexible budget, and you suggest that preparing such a budget would be an excellent first step in overhead planning and control After much effort and analysis, you determined the following cost formulas and gathered the following actual cost data for March: Cost Formula $0.19 per machine-hour Actual Cost in March $ 21,340 Utilities Maintenance Supplies Indirect labor Depreciation $16,500 $38,800 $0.30 per machine-hour $1.30 per machine-hour. $95,000 +$1.40 per machine-hour 168,400 $ 53,400 $ 4,600 $118,500 $ 70,100 During March, the company worked 14,000 machine-hours and produced 8,000 units. The company had originally planned to work 16,000 machine-hours during March. Required: 1. Prepare a flexible budget for March. 2. Prepare a report showing the spending variances for March. Complete this question by entering your answers in the tabs below.