Zelmer Company manufactures tablecloths. Sales have grown rapidly over the past 2 years. As a result, the president has installed a budgetary control system for 2020. The following data were used in developing the master manufacturing overhead budget for the Ironing Department, which is based on an activity index of direct labor hours. Variable costs Rate per Direct Labor Hour Annual Find Costs Indirect labor $0.44 Supervision $44,040 Indirect materials 0.54 Depreciation 19,200 Factory utilities Factory repairs 0.34 Insurance 14,640 0.24 Rent 25,080 The master overhead budget was prepared on the expectation that 476,600 direct labor hours will be worked during the year. In June, 45,300 direct labor hours were worked. At that level of activity, actual costs were as shown below. Variable-per direct labor hour: indirect labor $0.48, indirect materials $0.53, factory utilities $0.38, and factory repairs $0.29. Fixed: same as budgeted. (a) Prepare a monthly manufacturing overhead flexible budget for the year ending December 31, 2020, assuming production levels range from 35,200 to 52,000 direct labor hours. Use increments of 5,600 direct labor hours. (List variable costs before fixed costs) ZELMER COMPANY Monthly Manufacturing Overhead Flexible Budget Ironing Department For the Year 2020