Accounting

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Current Attempt in Progress Bumblebee Company estimates that 372,900 direct labor hours will be worked during the coming year, 2020, in the Packaging Department. On this basis, the following budgeted manufacturing overhead cost data are computed for the year. Fixed Overhead Costs Supervision $85,440 Variable Overhead Costs Indirect labor $164,076 Indirect materials 74,580 Depreciation 66,240 Insurance 33.720 Repairs 74.580 Rent 29,280 Utilities 93,225 Property taxes 12.480 Lubricants 29,832 $227.160 $436,293 It is estimated that direct labor hours worked each month will range from 24.700 to 31,000 hours. During October, 24,700 direct labor hours were worked and the following overhead costs were incurred. Fixed overhead costs: Supervision $7, 120, Depreciation $5,520, Insurance $2,785. Rent $2,440, and Property taxes $1,040. Variable overhead costs: Indirect labor $11,888 Indirect materials, $4,570, Repairs $4,870, Utilities $6,475, and Lubricants $2.286. (a) Prepare a monthly manufacturing overhead flexible budget for each increment of 2.100 direct labor hours over the relevant range for the year ending December 31, 2020. (List variable costs before fixed costs.) (a) Prepare a monthly manufacturing overhead flexible budget for each increment of 2,100 direct labor hours over the relevant range for the year ending December 31, 2020. (List variable costs before fixed costs.) BUMBLEBEE COMPANY Packaging Department Monthly Manufacturing Overhead Flexible Budget For the Year 2020 5 S . + 4 4 (b) Prepare a flexible budget report for October. (List variable costs before fixed costs.) BUMBLEBEE COMPANY Packaging Department Manufacturing Overhead Flexible Budget Report For the Month Ended October 31, 2020 Difference Favorable Unfavorable Neither Favorable nor Unfavorable Budget Actual Costs $ . $ $ $