IT IS NOT $32,500$ OR $37,500$ FOR INDIRECT MATERIAL. IT IS NOT $56,700$ OR $52,600$ FOR TOTAL OVERHEAD COST. I DONT KNOW WHATS CORRECT ANSWER. THE OTHER ARE CORRECT.

ALSO, FOR REQ $2$A TOTAL VARIANCE IS NOT $-1500.$ WHAT IS IT$???$

Exhibit $11-11$

Activity$-$Based Flexible Budget: DCdesserts

$\backslash$begin$\{$tabular$\}\{|$c$|$c$|$c$|$c$|\}$

$\backslash$hline $\backslash$multicolumn$\{4\}\{|$l$|\}\{\backslash$begin$\{$tabular$\}\{$l$\}$

DCdesserts $\backslash \backslash$

Monthly Flexible Overhead Budget

$\backslash$end$\{$tabular$\}\}\backslash \backslash$

$\backslash$hline & $\backslash$multicolumn$\{3\}\{|$c$|\}\{$Level of Activity$\}\backslash \backslash$

$\backslash$hline Cost Pool I & & & $\backslash \backslash$

$\backslash$hline $($cost driver: process hours$)$ & $6,000$ & $7,500$ & $9,000\backslash \backslash$

$\backslash$hline $\backslash$multicolumn$\{4\}\{|$l$|\}\{$Indirect material:$\}\backslash \backslash$

$\backslash$hline Nonstick cooking spray & $\backslash$$ $12,000$ & $\backslash$$ $15,000$ & $\backslash$$ $18,000\backslash \backslash$

$\backslash$hline Waxed paper & $2,000$ & $2,500$ & $3,000\backslash \backslash$

$\backslash$hline Other paper products & $2,000$ & $2,500$ & $3,000\backslash \backslash$

$\backslash$hline Miscellaneous supplies & $6,000$ & $7,500$ & $9,000\backslash \backslash$

$\backslash$hline Indirect labor: maintenance & $4,000$ & $5,000$ & $6,000\backslash \backslash$

$\backslash$hline $\backslash$multicolumn$\{4\}\{|$l$|\}\{$Utilities:$\}\backslash \backslash$

$\backslash$hline Electricity & $3,000$ & $3,750$ & $4,500\backslash \backslash$

$\backslash$hline Natural gas & $1,000$ & $1,250$ & $1,500\backslash \backslash$

$\backslash$hline Total of cost pool I & $\backslash$$ $30,000$ & $\backslash$$ $37,500$ & $\backslash$$ $45,000\backslash \backslash$

$\backslash$hline $\backslash$multicolumn$\{4\}\{|$l$|\}\{$Cost Pool II$\}\backslash \backslash$

$\backslash$hline $($cost driver: production runs$)$ & $8$ & $12$ & $16\backslash \backslash$

$\backslash$hline $\backslash$multicolumn$\{4\}\{|$l$|\}\{$Indirect labor:$\}\backslash \backslash$

$\backslash$hline Inspection & $\backslash$$ $2,200$ & $\backslash$$ $3,300$ & $\backslash$$ $4,400\backslash \backslash$

$\backslash$hline Setup & $3,000$ & $4,500$ & $6,000\backslash \backslash$

$\backslash$hline Total of cost pool II & $\backslash$$ $5,200$ & $\backslash$$ $7,800$ & $\backslash$$ $10,400\backslash \backslash$

$\backslash$hline $\backslash$multicolumn$\{4\}\{|$l$|\}\{$Cost Pool III$\}\backslash \backslash$

$\backslash$hline $($cost driver: new products tested$)$ & $20$ & $30$ & $40\backslash \backslash$

$\backslash$hline Test kitchen & $\backslash$$ $1,200$ & $\backslash$$ $1,800$ & $\backslash$$ $2,400\backslash \backslash$

$\backslash$hline Total of cost pool III & $\backslash$$ $1,200$ & $\backslash$$ $1,800$ & $\backslash$$ $2,400\backslash \backslash$

$\backslash$hline $\backslash$multicolumn$\{4\}\{|$l$|\}\{$Cost Pool IV$\}\backslash \backslash$

$\backslash$hline $($cost driver: pounds of material handled$)$ & $20,000$ & $30,000$ & $40,000\backslash \backslash$

$\backslash$hline Material handling & $\backslash$$ $2,000$ & $\backslash (\backslash$$ $3,000\backslash )$ & $\backslash (\backslash$$ $4,000\backslash )\backslash \backslash$

$\backslash$hline Total of cost pool IV & $\backslash$$ $2,000$ & $\backslash$$ $3,000$ & $\backslash$$ $4,000\backslash \backslash$

$\backslash$hline $\backslash$multicolumn$\{4\}\{|$l$|\}\{$Cost Pool V $($facility level costs$)\}\backslash \backslash$

$\backslash$hline Indirect labor: production supervisors & $\backslash$$ $6,000$ & $\backslash$$ $6,000$ & $\backslash$$ $6,000\backslash \backslash$

$\backslash$hline Depreciation: plant and equipment & $500$ & $500$ & $500\backslash \backslash$

$\backslash$hline Insurance and property taxes & $100$ & $100$ & $100\backslash \backslash$

$\backslash$hline Total of cost pool v & $\backslash$$ $6,600$ & $\backslash$$ $6,600$ & $\backslash$$ $6,600\backslash \backslash$

$\backslash$hline Total overhead cost & $\backslash$$ $45,000$ & $\backslash$$ $56,700$ & $\backslash$$ $68,400\backslash \backslash$

$\backslash$hline

$\backslash$end$\{$tabular$\}$ Exhibit $1$l$-3$

Flexible Overhead Budget: DCdesserts