Mueller-Lehmkuhl GmbH - A Template for the first assigned question
		Fasteners	Attachment	Total		Source
			Machines
		93%	7%	100%
Revenue		96000	$7,000	$103,000		Exhibit 1
COGS
Material				$31,000		Exhibit 1
Dir. Labor				$1,610		Exhibit 1
Machine Ohd.				$4,500		Exhibit 1
Total		$ -	$ -	$37,110
General Ohd.
Fac. Support				$3,020		Exhibits 1, 8
Fac. Supplies				$470		Exhibits 1, 8
Tech. Adm.				$6,500		Exhibits 1, 8 and information in the case
Support Dep.				$6,500		Exhibits 1, 8
Machining Dep.				$13,350		Exhibits 1, 8 and information in the case
Tooling Dep.				$3,050		Exhibits 1, 8
Total		$0.00	$0.00	$32,890
SG&A
R&D				$5,810		Exhibits 1 and information in the case
Admin.				$2,760		Exhibit 1
Marketing				$7,930		Exhibit 1
Shipping				$3,170		Exhibit 1
Commission				$3,830		Exhibit 1
Total		$0.00	$0.00	$23,500
Total Cost		$ -	$ -	$93,500
Profits		$ 96,000.00	$7,000.00	$9,500		Exhibit 1
All manufacturing, service and retooling costs of attachment machines are in the general overhead category - see exhibit 8 and the footnote to the exhibit.
Fill in the shaded portion based on information on the indicated exhibits and in the body of the case.

Exhibit 1 Budgeted Income, 1986 ($000) Sales $103,000.00 Cost of Goods Materials (including material overhead) $31,000.00 Direct labor (including setup labor) 1,610.00 Machine Overhead 4,500.00 General Overhead Factory support $3,020.00 Factory supplies 470.00 Technical administration 6,500.00 Support departments 6,500.00 Machining department 13,350.00 Tooling department 3,050.00 $32.890.00 Total $70,000.00 Sales, General and Administration Research and development $5,810.00 Administration 2,760.00 Marketing 7,930.00 Shipping 3,170.00 Commission 3.830.00 $23,500.00 Net income $9,500.00Exhibit 8 Description of General Overhead Accounts Factory support included the unallocated supervision, floor space, and janitorial services that were consumed by fastener production. Production management was also contained in this account. Factory supplies included oil, grease rags, and miscellaneous tools used in the fastener production departments. Technical administration included attaching machine service costs and those engineering costs not included in R&D. Support department included costs for production scheduling, fastener inventory control, the apprentice workshop, and the worker council. Machining department included material labor and overhead for the manufacture of production and attaching machines." Tooling department included material, labor, and overhead costs for the manufacture of tools. a. Under German accounting principles, given the nature of the lease agreement, the entire cost of the attaching machines was written off to general overhead in the year in which the machines were manufactured