Reagan Products Ltd., an Australian company, has the following cost formulas (expressed in Australian dollars) for variable overhead costs in one of its machine shops:

The flexible budget amounts for fixed overhead costs in July are as follows:

During July, the machine shop was scheduled to work 5,600 machine-hours and to produce 28,000 units of product. The standard machine time per unit of product is 0.2 hours. A severe storm during the month forced the company to close for several days, which reduced the level of output for the month. Actual results for July were as follows:
Actual machine-hours worked . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4,700
Actual number of units produced . . . . . . . . . . . . . . . . . . . . . . . . . 24,500
Actual costs for July were as follows:

Required:
Prepare an overhead performance report including both variable and fixed overhead for the machine shop for July. Use column headings in your report as shown below:

Transcribed Image Text:

Cost Formula (per machine-hour) Variable Overhead Cost Supplies.. Power . Lubrication.. Wearing tools. Total.. $ 120 2.10 090 5.40 $9.60