A) Prepare a flexible budget performance report, assuming that the company worked 11,000 direct labor hours during the month. (List variable costs before fixed costs.)

B) Prepare a flexible budget performance report, assuming that the company worked 10,300 direct labor hours during the month. (List variable costs before fixed costs.

Sunland Company uses a flexible budget for manufacturing overhead based on direct labor hours. Variable manufacturing overhead costs per direct labor hour are as follows. Indirect labor $1.00 Indirect materials 0.70 0.40 Utilities Fixed overhead costs per month are Supervision $4,200, Depreciation $1,800, and Property Taxes $600. The company believes it will normally operate in a range of 7,000 13,000 direct labor hours per month. Assume that in July 2020, Sunland Company incurs the following manufacturing overhead costs. Variable Costs Indirect labor $4,200 Fixed Costs Supervision Depreciation Property taxes $10,760 7,520 3,950 Indirect materials 1,800 Utilities 600 (a) Prepare a flexible budget performance report, assuming that the company worked 11,000 direct labor hours during the month. (List variable costs before fixed costs.) Difference Favorable Unfavorable Neither Favorable nor Unfavorable Budget Actual Costs LLL LUI IULIE Difference Favorable Unfavorable Neither Favorable nor Unfavorable Budget Actual Costs