Rooney Company uses a flexible budget for manufacturing overhead - 10375

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yousafbhutta

yousafbhutta

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Solution Detail
Price: $1.50
  • From: Business,
  • Posted on: Sat 26 May, 2012
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Request Description

 

Rooney Company uses a flexible budget for manufacturing overhead based on direct labor hours. Variable manufacturing overhead costs per direct labor hour are as follows.

 

 

Indirect labor

$1.32

 

Indirect materials

0.67

 

Utilities

0.41

 

Fixed overhead costs per month are: Supervision $4,500, Depreciation $1,221, and Property Taxes $4,710. The company believes it will normally operate in a range of 5,500-9,700 direct labor hours per month.

 

Instructions

 

Complete the monthly flexible manufacturing overhead budget for 2012 for the expected range of activity, using increments of 1,400 direct labor hours.

 

 

 

Solution Description

 

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AE24-3 Solution.docx
AE24-3 Solution...