Maurice Tutor

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Category > Management Posted 13 Mar 2018 My Price 9.00

Cabinaire Inc

Cabinaire Inc. is one of the largest manufacturers of office furniture in the United States. In Grand Rapids, Michigan, it produces filing cabinets in two departments: Fabrication and Trim Assembly. Assume the following information for the Fabrication Department:

Steel per filing cabinet 45 pounds
Direct labor per filing cabinet 30 minutes
Supervisor salaries $135,000 per month
Depreciation $17,000 per month
Direct labor rate $21 per hour
Steel cost $1.53 per pound

Prepare a flexible budget for 12,000, 15,000, and 18,000 filing cabinets for the month of October 2016, similar to Exhibit 5, assuming that inventories are not significant. Enter all amounts as positive numbers.

Cabinaire Inc-Fabrication Department
Flexible Production Budget
October 2016 (assumed data)
Units of production 12,000 15,000 18,000
Variable cost:      
Direct labor $ $ $
Direct materials      
Total variable cost $ $ $
Fixed cost:      
Supervisor salaries $ $ $
Depreciation      
Total fixed cost $ $ $
Total department cost $ $ $

 

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Maurice Tutor
(5)
Status NEW Posted 13 Mar 2018 10:03 AM My Price 9.00

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