Myers Company uses a flexible budget for manufacturing overhead based on direct labor hours. Variable manufacturing overhead costs per direct labor hour are as follows.Indirect labor $1.10Indirect materials 0.60Utilities 0.40Fixed overhead costs per month are Supervision $3,900, Depreciation $1,200, and Property Taxes $500. The company believes it will normally operate in a range of 7,400–11,300 direct labor hours per month.Assume that in July 2020, Myers Company incurs the following manufacturing overhead costs.Variable Costs Fixed CostsIndirect labor $10,730 Supervision $3,900Indirect materials 5,840 Depreciation 1,200Utilities 3,530 Property taxes 500(a) Prepare a flexible budget performance report, assuming that the company worked 10,000 direct labor hours during the month. (List variable costs before fixed costs.)MYERS COMPANYManufacturing Overhead Flexible Budget ReportFor the Month Ended July 31, 2020 Difference Budget Actual Costs FavorableUnfavorableNeither Favorablenor UnfavorableSelect an opening overhead flexible budget report item DepreciationDirect Labor HoursFixed CostsIndirect LaborIndirect MaterialsProperty TaxesSupervisionTotal CostsTotal Fixed CostsTotal Variable CostsUtilitiesVariable Costs Enter a number Enter a number Select an opening name for section one DepreciationDirect Labor HoursFixed CostsIndirect LaborIndirect MaterialsProperty TaxesSupervisionTotal CostsTotal Fixed CostsTotal Variable CostsUtilitiesVariable Costs Select an overhead flexible budget report item DepreciationDirect Labor HoursFixed CostsIndirect LaborIndirect MaterialsProperty TaxesSupervisionTotal CostsTotal Fixed CostsTotal Variable CostsUtilitiesVariable Costs $Enter a dollar amount $Enter a dollar amount $Enter the difference Select an option FavorableUnfavorableNeither Favorable nor UnfavorableSelect an overhead flexible budget report item DepreciationDirect Labor HoursFixed CostsIndirect LaborIndirect MaterialsProperty TaxesSupervisionTotal CostsTotal Fixed CostsTotal Variable CostsUtilitiesVariable Costs Enter a dollar amount Enter a dollar amount Enter the differenceSelect an option FavorableUnfavorableNeither Favorable nor UnfavorableSelect an overhead flexible budget report item DepreciationDirect Labor HoursFixed CostsIndirect LaborIndirect MaterialsProperty TaxesSupervisionTotal CostsTotal Fixed CostsTotal Variable CostsUtilitiesVariable Costs Enter a dollar amount Enter a dollar amount Enter the differenceSelect an option FavorableUnfavorableNeither Favorable nor UnfavorableSelect a closing name for section one DepreciationDirect Labor HoursFixed CostsIndirect LaborIndirect MaterialsProperty TaxesSupervisionTotal CostsTotal Fixed CostsTotal Variable CostsUtilitiesVariable Costs Enter a total amount for section one Enter a total amount for section one Enter the differenceSelect an option FavorableUnfavorableNeither Favorable nor UnfavorableSelect an opening name for section two Select an overhead flexible budget report item Enter a dollar amount Enter a dollar amount Enter the differenceSelect an option FavorableUnfavorableNeither Favorable nor UnfavorableSelect an overhead flexible budget report item Enter a dollar amount Enter a dollar amount Enter the differenceSelect an option FavorableUnfavorableNeither Favorable nor UnfavorableSelect an overhead flexible budget report item Enter a dollar amount Enter a dollar amount Enter the differenceSelect an option FavorableUnfavorableNeither Favorable nor UnfavorableSelect a closing name for section two Enter a total amount for section two Enter a total amount for section two Enter the differenceSelect an option FavorableUnfavorableNeither Favorable nor UnfavorableSelect a closing overhead flexible budget report item $Enter a total dollar amount $Enter a total dollar amount $Enter the difference Select an option FavorableUnfavorableNeither Favorable nor Unfavorable

Name: Myers Company uses a flexible budget for manufacturing overhead based
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Description: Myers Company uses a flexible budget for manufacturing overhead based on direct labor hours. Variable manufacturing overhead costs per direct labor hour are as follows.Indirect labor $1.10Indirect materials 0.60Utilities 0.40Fixed overhead costs per

Manufacturing Overhead Flexible Budget Report contains all the manufacturing costs, that will be…

Answered: Myers Company uses a flexible budget…

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

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Myers Company uses a flexible budget for manufacturing overhead based on direct labor hours. Variable manufacturing overhead costs per direct labor hour are as follows.

Indirect labor		$1.10
Indirect materials		0.60
Utilities		0.40

Fixed overhead costs per month are Supervision $3,900, Depreciation $1,200, and Property Taxes $500. The company believes it will normally operate in a range of 7,400–11,300 direct labor hours per month.

Assume that in July 2020, Myers Company incurs the following manufacturing overhead costs.

Variable Costs	Fixed Costs
Indirect labor	$10,730	Supervision	$3,900
Indirect materials	5,840	Depreciation	1,200
Utilities	3,530	Property taxes	500

(a) Prepare a flexible budget performance report, assuming that the company worked 10,000 direct labor hours during the month. (List variable costs before fixed costs.)

MYERS COMPANY Manufacturing Overhead Flexible Budget Report For the Month Ended July 31, 2020
			Difference
	Budget	Actual Costs	Favorable Unfavorable Neither Favorable nor Unfavorable
Select an opening overhead flexible budget report item DepreciationDirect Labor HoursFixed CostsIndirect LaborIndirect MaterialsProperty TaxesSupervisionTotal CostsTotal Fixed CostsTotal Variable CostsUtilitiesVariable Costs	Enter a number	Enter a number
Select an opening name for section one DepreciationDirect Labor HoursFixed CostsIndirect LaborIndirect MaterialsProperty TaxesSupervisionTotal CostsTotal Fixed CostsTotal Variable CostsUtilitiesVariable Costs
Select an overhead flexible budget report item DepreciationDirect Labor HoursFixed CostsIndirect LaborIndirect MaterialsProperty TaxesSupervisionTotal CostsTotal Fixed CostsTotal Variable CostsUtilitiesVariable Costs	$Enter a dollar amount	$Enter a dollar amount	$Enter the difference	Select an option FavorableUnfavorableNeither Favorable nor Unfavorable
Select an overhead flexible budget report item DepreciationDirect Labor HoursFixed CostsIndirect LaborIndirect MaterialsProperty TaxesSupervisionTotal CostsTotal Fixed CostsTotal Variable CostsUtilitiesVariable Costs	Enter a dollar amount	Enter a dollar amount	Enter the difference	Select an option FavorableUnfavorableNeither Favorable nor Unfavorable
Select an overhead flexible budget report item DepreciationDirect Labor HoursFixed CostsIndirect LaborIndirect MaterialsProperty TaxesSupervisionTotal CostsTotal Fixed CostsTotal Variable CostsUtilitiesVariable Costs	Enter a dollar amount	Enter a dollar amount	Enter the difference	Select an option FavorableUnfavorableNeither Favorable nor Unfavorable
Select a closing name for section one DepreciationDirect Labor HoursFixed CostsIndirect LaborIndirect MaterialsProperty TaxesSupervisionTotal CostsTotal Fixed CostsTotal Variable CostsUtilitiesVariable Costs	Enter a total amount for section one	Enter a total amount for section one	Enter the difference	Select an option FavorableUnfavorableNeither Favorable nor Unfavorable
Select an opening name for section two
Select an overhead flexible budget report item	Enter a dollar amount	Enter a dollar amount	Enter the difference	Select an option FavorableUnfavorableNeither Favorable nor Unfavorable
Select an overhead flexible budget report item	Enter a dollar amount	Enter a dollar amount	Enter the difference	Select an option FavorableUnfavorableNeither Favorable nor Unfavorable
Select an overhead flexible budget report item	Enter a dollar amount	Enter a dollar amount	Enter the difference	Select an option FavorableUnfavorableNeither Favorable nor Unfavorable
Select a closing name for section two	Enter a total amount for section two	Enter a total amount for section two	Enter the difference	Select an option FavorableUnfavorableNeither Favorable nor Unfavorable
Select a closing overhead flexible budget report item	$Enter a total dollar amount	$Enter a total dollar amount	$Enter the difference	Select an option FavorableUnfavorableNeither Favorable nor Unfavorable

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