ABC Corporation has prepared the following overhead budget for next month. Activity level Variable overhead costs: Supplies Indirect labor Fixed overhead costs: Supervision Utilities Depreciation Total overhead cost 3,700 machine-hours $ 21,090 35,520 18,100 7,100 8,100 $ 89,910 The company's variable overhead costs are driven by machine-hours. What would be the total budgeted overhead cost for next month if the activity level is 3,600 machine-hours rather than 3,700 machine-hours? (Round your intermediate calculations to 2 decimal places.)

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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ABC Corporation has prepared the following overhead budget for next month.
Activity level
Variable overhead costs:
Supplies
Indirect labor
Fixed overhead costs:
Supervision
Utilities
Depreciation
Total overhead cost
3,700 machine-hours
$ 21,090
35,520
18,100
7,100
8,100
$ 89,910
The company's variable overhead costs are driven by machine-hours.
What would be the total budgeted overhead cost for next month if the activity level is 3,600 machine-hours rather
than 3,700 machine-hours? (Round your intermediate calculations to 2 decimal places.)
Transcribed Image Text:ABC Corporation has prepared the following overhead budget for next month. Activity level Variable overhead costs: Supplies Indirect labor Fixed overhead costs: Supervision Utilities Depreciation Total overhead cost 3,700 machine-hours $ 21,090 35,520 18,100 7,100 8,100 $ 89,910 The company's variable overhead costs are driven by machine-hours. What would be the total budgeted overhead cost for next month if the activity level is 3,600 machine-hours rather than 3,700 machine-hours? (Round your intermediate calculations to 2 decimal places.)
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