managerial accounting please help 3 parts please check others 419784

Company assembles all of its products in the Assembly Department. Budgeted cost for the
operation of this department for the year have been set as follows:
COMPANY

Budget costs for Assembly Department:
Variable costs:
Direct materials	$900,000
Direct labor	675,000
Utilities	45,000
Indirect labor	67,500
Supplies	22,500
Total variable costs	1,710,000

Fixed costs:
Insurance	8,000
Supervisory Salaries	90,000
Depreciation	160,000
Equipment rental	42,000
Total fixed costs	300,000
Total budgeted costs	$2,010,000
Budgeted direct labor hours	75,000

Part 3: Actual activities and costs:
Actual direct labor hours worked	73,000
Standard direct labor hours allowed	70,000
Actual variable manufacturing overhead cost incurred	$124,100
Actual fixed manufacturing overhead cost incurred	301,600


Since the assembly work is done mostly by hand, operating activity in this department is best
measured by direct labor hours. The cost formulas used to develop the budgeted costs above are
valid over a relevant range of 60,000 to 90,000 direct labor hours per year.

Required:
1. Prepare a manufacturing overhead flexible budget for the Assembly Department using increments
of 15,000 direct labor hours. (The company does not include direct materials and direct labor
costs in the flexible budget.)