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Category > Accounting Posted 21 Apr 2017 My Price 10.00

overhead rate

The $6.00 fixed overhead rate is based on total budgeted fixed overhead costs of $18,000 and estimated sales of 3,000 units. There were no changes in any inventory account during the period. The company produced and sold 3,100 units at the following costs:

Direct materials (9,000 lbs.) $81,270

Direct labor (6,000 hrs.) 78,000

Variable overhead 76,000

Fixed overhead 16,500

Total production costs incurred $251,770

 

  1. Please prepare a flexible budget to evaluate the current year -- fill in the ? and show work.

 

**Template to create flex budget attached.

Flex Actual Flex Budget Variance

Direct Materials | ? | 81,270 | ?

Direct Labor | ? | 78,000 | ?

Variable Overhead | ? | 76,000 | ?

Fixed Overhead | ? | 16,500 | ?

Total | ? | 251,770 | ?

Answers

(15)
Status NEW Posted 21 Apr 2017 03:04 AM My Price 10.00

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