Additional Exercise 180 Thread Company is preparing its manufacturing overhead budget for 2016. Relevant data consist of the following. Units to be produced (by quarters): 10,000, 12,000, 14,000, 16,000 Direct labor: Time is 1 hour per unit. Variable overhead costs per direct labor hour: Indirect materials $0.80; indirect labor $1.20; and maintenance $0.50. Fixed overhead costs per quarter: Supervisory salaries $42,000; depreciation $16,000; and maintenance $12,000 Prepare the manufacturing overhead budget for the year, showing quarterly data. (List variable costs before fixed costs.) THREAD COMPANY Manufacturing Overhead Budget For the Year Ending December 31, 2016 Third Quarter First Quarter Second Fourth Quarter Quarter Year $ $1 Variable costs Total fixed costs Total variable costs Depreciation Indirect materials Indirect labor Maintenance Fixed costs Total manufacturing overhead Supervisory salaries Direct labor hours Manufacturing overhead rate per direct labor hour