A department has budgeted monthly manufacturing overhead cost of $610000 plus $5 per direct labor hour. If a flexible budget report reflects $1094000 for total budgeted manufacturing cost for the month, the actual level of activity achieved during the month was O340800 direct labor hours. O cannot be determined from the information provided. O96800 direct labor hours. O218800 direct labor hours.
Master Budget
A master budget can be defined as an estimation of the revenue earned or expenses incurred over a specified period of time in the future and it is generally prepared on a periodic basis which can be either monthly, quarterly, half-yearly, or annually. It helps a business, an organization, or even an individual to manage the money effectively. A budget also helps in monitoring the performance of the people in the organization and helps in better decision-making.
Sales Budget and Selling
A budget is a financial plan designed by an undertaking for a definite period in future which acts as a major contributor towards enhancing the financial success of the business undertaking. The budget generally takes into account both current and future income and expenses.
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