- /1 E View Policies Current Attempt in Progress Chubbs Inc's manufacturing overhead budget for the first quarter of 2017 contained the followinic data Variable Costs Fixed Costs Indirect materials $12,000 Supervisory salaries $36,700 Indirect labor 10,900 Depreciation 6,700 Utilities 7.700 Property taxes and insurance 7,800 Maintenance 6,000 Maintenance 4,400 Actual variable costs were Indirect materials $14.900, Indirect labor $9.500, utilities $9,500, and maintenance 55,400. Actual fixed costs equaled budgeted costs except for property taxes and insurance, which were $8.600. The actual activity level equaled the budgeted level. All costs are considered controllable by the production department manager except for depreciation, and property taxes and insurance. (a) Prepare a manufacturing overhead flexible budget report for the first quarter. (List variable costs before hixed costs.) CHUBBS INC Manufacturing Overhead Flexible Budget Report For the Quarter Ended March 31, 2017 Difference Favorable (b) Prepare a responsibility report for the first quarter, CHUBBS INC. Manufacturing Overhead Responsibility Report For the Quarter Ended March 31, 2017 senes Favorable Unfavorable Neither Favorable nor Unfavorable 2900 Unfavorable Budget Actual $ $ 12000 $ 14900 10900 9500 1400 Favorable 7700 Unfavorable Favorable 6000 Unfavorable 36600 $ (b) Prepare a responsibility report for the first quarter. CHUBBS INC. Manufacturing Overhead Responsibility Report For the Quarter Ended March 31, 2017 rence Favorable Unlaverable Neither Favorable nor Unfavorable 2900 Unfavorable Budget Actual $ 12000 $ 14900 10900 9500 1400 Favorable 7700 Unfavorable Favorable 6000 Unfavorable 36600 $ $