Question: Please help with both parts a and b. Will thumbs up for any assistance provided. Thank you. Monty Company estimates that 294,000 direct labor hours
Please help with both parts a and b. Will thumbs up for any assistance provided. Thank you.



Monty Company estimates that 294,000 direct labor hours will be worked during the coming year, 2022, in the Packaging Department. On this basis, the following budgeted manufacturing overhead cost data are computed for the year. It is estimated that direct labor hours worked each month will range from 26,100 to 36,000 hours. During October, 26,100 direct labor hours were worked, and the following overhead costs were incurred. Fixed overhead costs: supervision $7,840, depreciation $5,880, insurance $2,409, rent $1,960, and property taxes $1,470. Variable overhead costs: indirect labor $12,177, indirect materials $7,530, repairs $5,912, utilities $6,696, and lubricants $1,878. (a) Prepare a monthly manufacturing overhead flexible budget for each increment of 3,300 direct labor hours over the relevant range 1
Step by Step Solution
There are 3 Steps involved in it
Get step-by-step solutions from verified subject matter experts
