Syart has frecast production for the next three months as follows: July 6,500 units, August 8,200 units, September 9,100 units. Monthly 32 antdring overhead s budgeted to be $33,000 plus $6 per unit produced. What Is budgeted manufacturing overhead for August? Matole Choice SE2.200 $2.000 $49.200 SE7500

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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**Question:**

Skylark has forecasted production for the next three months as follows: July 6,500 units, August 8,200 units, September 9,100 units. Monthly manufacturing overhead is budgeted to be $33,000 plus $6 per unit produced. What is the budgeted manufacturing overhead for August?

**Options:**

1. $82,200
2. $32,000
3. $49,200
4. $57,600

**Explanation:**

To find the budgeted manufacturing overhead for August, you need to calculate the overhead based on the given formula: $33,000 plus $6 per unit produced. 

For August, the units produced are 8,200. 

1. Calculate the variable overhead: 
   \[
   8,200 \, \text{units} \times \$6 = \$49,200
   \]

2. Add the fixed overhead:
   \[
   \$33,000 + \$49,200 = \$82,200
   \]

Therefore, the budgeted manufacturing overhead for August is **$82,200**.
Transcribed Image Text:**Question:** Skylark has forecasted production for the next three months as follows: July 6,500 units, August 8,200 units, September 9,100 units. Monthly manufacturing overhead is budgeted to be $33,000 plus $6 per unit produced. What is the budgeted manufacturing overhead for August? **Options:** 1. $82,200 2. $32,000 3. $49,200 4. $57,600 **Explanation:** To find the budgeted manufacturing overhead for August, you need to calculate the overhead based on the given formula: $33,000 plus $6 per unit produced. For August, the units produced are 8,200. 1. Calculate the variable overhead: \[ 8,200 \, \text{units} \times \$6 = \$49,200 \] 2. Add the fixed overhead: \[ \$33,000 + \$49,200 = \$82,200 \] Therefore, the budgeted manufacturing overhead for August is **$82,200**.
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