Flexible Budget for Fabrication Department Steelcase Inc. is one of the largest manufacturers of office furniture in the United States. In Grand Rapids, Michigan, it produces filing cabinets in two departments: Fabrication and Assembly. Assume the following information for the Assembly Department: Direct labor per filing cabinet 30 minutes Supervisor salaries $144,000 per month Depreciation $33,000 per month Direct labor rate $18 per hour Prepare a flexible budget for 8,000, 10,000, and 12,000 filing cabinets for the month of August, similar to Exhibit 5, assuming that inventories are not significant. Enter all amounts as positive numbers. Steelcase Inc. - Assembly Department Month Ending August 31 (Assumed Data) Units of production 8,000 10,000 12,000 Variable cost: Direct labor v Fixed cost: Supervisor salarles v Denreclatinn

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Flexible Budget for Fabrication Department
Steelcase Inc. is one of the largest manufacturers of office furniture in the United States. In Grand Rapids, Michigan, it produces filing cabinets in two
departments: Fabrication and Assembly. Assume the following information for the Assembly Department:
Direct labor per filing cabinet
30 minutes
Supervisor salaries
$144,000 per month
Depreciation
$33,000 per month
Direct labor rate
$18 per hour
Prepare a flexible budget for 8,000, 10,000, and 12,000 filing cabinets for the month of August, similar to Exhibit 5, assuming that inventories are not
significant. Enter all amounts as positive numbers.
Steelcase Inc. - Assembly Department
Month Ending August 31
(Assumed Data)
Units of production
8,000
10,000
12,000
Variable cost:
Direct labor v
Fixed cost:
Supervisor salaries v
Denreclatin
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Transcribed Image Text:Flexible Budget for Fabrication Department Steelcase Inc. is one of the largest manufacturers of office furniture in the United States. In Grand Rapids, Michigan, it produces filing cabinets in two departments: Fabrication and Assembly. Assume the following information for the Assembly Department: Direct labor per filing cabinet 30 minutes Supervisor salaries $144,000 per month Depreciation $33,000 per month Direct labor rate $18 per hour Prepare a flexible budget for 8,000, 10,000, and 12,000 filing cabinets for the month of August, similar to Exhibit 5, assuming that inventories are not significant. Enter all amounts as positive numbers. Steelcase Inc. - Assembly Department Month Ending August 31 (Assumed Data) Units of production 8,000 10,000 12,000 Variable cost: Direct labor v Fixed cost: Supervisor salaries v Denreclatin Previous Next Check My Work Sign out V O 11:13
Prepare a flexible budget for 8,000, 10,000, and 12,000 filing cabinets for the month of August, similar to Exhibit 5, assuming that inventories are not
significant. Enter all amounts as positive numbers.
Steelcase Inc. - Assembly Department
Month Ending August 31
(Assumed Data)
Units of production
8,000
10,000
12,000
Variable cost:
Direct labor v
Fixed cost:
Supervisor salaries v
Depreciation
Total fixed cost
Total department cost
Feedback
V Check My Work
For each level of cabinet production, show all variable costs and all fixed costs.
Previous
Next
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O • 0 11:14
0 0000
Transcribed Image Text:Prepare a flexible budget for 8,000, 10,000, and 12,000 filing cabinets for the month of August, similar to Exhibit 5, assuming that inventories are not significant. Enter all amounts as positive numbers. Steelcase Inc. - Assembly Department Month Ending August 31 (Assumed Data) Units of production 8,000 10,000 12,000 Variable cost: Direct labor v Fixed cost: Supervisor salaries v Depreciation Total fixed cost Total department cost Feedback V Check My Work For each level of cabinet production, show all variable costs and all fixed costs. Previous Next Check My Work Sign out O • 0 11:14 0 0000
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Flexible budget is that budget which can be changed as per level of activity.

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