You have just been hired by OpenDoor Corporation, the manufacturer of a revolutionary new garage door opening device. The president has asked that you review the companys 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 April:

Actual Cost Cost Formula Utilities Maintenance $40,200 plus $1.90 per machine-hour Supplies Indirect labor $95,800 plus $1.50 per machine-hour Depreciation $69,100 in April S 23,645 68,400 $ 15,700 $124,950 $ 72,300 $18,300 plus S0.17 per machine-hour $0.90 per machine-hour During April, the company worked 16,500 machine-hours and produced 11,500 units. The company had originally planned to work 18,500 machine-hours during April. Required. 1. Prepare a flexible budget for April OpenDoor Corporation Flexible Budget For the Month Ended April 30 Flexibl Budget Machine-hours Utilities Maintenance Supplies Indirect labor Depreciation Total 2. Prepare a report showing the spending variances for April. (Input all amounts as positive values Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (i.e., zero variance).) OpenDoor Corporation Spending Varian ces For the Month Ended April 30 Flexibl Budget Actual Results Spending Variances Utilities Maintenance Supplies Indirect labor Depreciation Total