Crane Company is preparing its manufacturing overhead budget for 2022. Relevant data consist of the following Units to be produced (by quarters): 8.000, 9.600, 11,200, 12,800. Direct labor: Time is 1.50 hours per unit. Variable overhead costs per direct labor hour: indirect materials $0.80; indirect labor $1.20; and maintenance $0.50. Fixed overhead costs per quarter: supervisory salaries $33,000; depreciation $12,000; and maintenance $9,600. Prepare the manufacturing overhead budget for the year, showing quarterly data. (Round overhead rate to 2 decimal places, e.g. 1.25. List variable expenses before fixed expense.)
Crane Company is preparing its manufacturing overhead budget for 2022. Relevant data consist of the following Units to be produced (by quarters): 8.000, 9.600, 11,200, 12,800. Direct labor: Time is 1.50 hours per unit. Variable overhead costs per direct labor hour: indirect materials $0.80; indirect labor $1.20; and maintenance $0.50. Fixed overhead costs per quarter: supervisory salaries $33,000; depreciation $12,000; and maintenance $9,600. Prepare the manufacturing overhead budget for the year, showing quarterly data. (Round overhead rate to 2 decimal places, e.g. 1.25. List variable expenses before fixed expense.)
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Transcribed Image Text:Crane Company is preparing its manufacturing overhead budget for 2022. Relevant data consist of the following.
Units to be produced (by quarters): 8,000, 9,600, 11.200, 12,800.
Direct labor: Time is 1.50 hours per unit.
Variable overhead costs per direct labor hour: indirect materials $0.80; indirect labor $1.20; and maintenance $0.50.
Fixed overhead costs per quarter: supervisory salaries $33,000; depreciation $12,000; and maintenance $9,600.
Prepare the manufacturing overhead budget for the year, showing quarterly data. (Round overhead rate to 2 decimal places, e.g.
1.25. List variable expenses before fixed expense.)
CRANE COMPANY
Manufacturing Overhead Budget
For the Year Ending December 31, 2022
For the Quarter Ending December 31, 2022
December 31, 2022
Transcribed Image Text:Indirect Materials
Total Materials Required
Maintenance
Units to be Produced
Direct Materials Per Unit
Indirect Labor
Direct Materials Purchases
Exed Costs
Fixed Costs
Desired Ending Materials
Total Pounds Needed for Production
Variable Costs
Beginning Direct Materials
Total Fixed Costs
Supervisory Salaries
Total Manufacturing Overhead
Total Variable Costs
Depreciation
2
Quarter
$
3
4
Year
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