In the Crane Company, indirect labor is budgeted for $81,000, and factory supervision is budgeted for $36,000 at a normal capacity of 120,000 direct labor hours. If 140,000 direct labor hours are worked, the flexible budget total for these costs is: a. $136,500 b. $123,000 c. $130,500 d. $117,000
In the Crane Company, indirect labor is budgeted for $81,000, and factory supervision is budgeted for $36,000 at a normal capacity of 120,000 direct labor hours. If 140,000 direct labor hours are worked, the flexible budget total for these costs is: a. $136,500 b. $123,000 c. $130,500 d. $117,000
Cornerstones of Cost Management (Cornerstones Series)
4th Edition
ISBN:9781305970663
Author:Don R. Hansen, Maryanne M. Mowen
Publisher:Don R. Hansen, Maryanne M. Mowen
Chapter8: Budgeting For Planning And Control
Section: Chapter Questions
Problem 13CE: Nashler Company has the following budgeted variable costs per unit produced: Budgeted fixed overhead...
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Transcribed Image Text:In the Crane Company, indirect labor is
budgeted for $81,000, and factory supervision is
budgeted for $36,000 at a normal capacity of
120,000 direct labor hours. If 140,000 direct
labor hours are worked, the flexible budget total
for these costs is:
a. $136,500
b. $123,000
c. $130,500
d. $117,000
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