The budgeted variable MOH rate at Lindell Corp. is $5.20/machine hour, where every unit requires 2 machine hours. Additionally, thefollowing fixed-MOH costs are anticipated for production: depreciation of $2,900, insurance of $400, supervisor salaries of $5,200,and property taxes of $1,100. Assuming budgeted production this month is 8.500 units, prepare the MOH budget for the month,reporting both total budgeted MOH costs and the cash outlay requirement for MOH. (Round variable MOH rate per machine hour to 2decimal places, e.g. 15.25.)$$$$Month

Answer to Question: Budgeted Manufacturing Overhead Particulars Amount Amount Budgeted Production 8,500 units Machine hour per unit 2 Machine hours Budgeted total Machine hours 17,000 Variable manufacturing overhead rate × $5.20 Variable manufacturing overhead $ 88,400 Fixed manufacturing overhead Depreciation $ 2,900 Insurance $ 400 Supervisor Salaries $ 5,200 Property taxes $ 1,100 Total Fixed manufacturing overhead $ 9,600 Total Budgeted manufacturing overhead $ 98,000 Less depreciation $ 2,900 Cash outlay requirement for manufacturing overhead $ 95,100For computing cash outlay requirement of Maufacturing Overhead, Depreciation is to be excluded as it is a non cash expenditure.

Business

Accounting

The budgeted variable MOH rate at Lindell Corp. is $5.20/machine hour, where every unit requires 2 machine hours. Additionally. following fixed-MOH costs are anticipated for production: depreciation of $2,900, insurance of $400, supervisor salaries of $5,20 and property taxes of $1,100. Assuming budgeted production this month is 8.500 units, prepare the MOH budget for the month, reporting both total budgeted MOH costs and the cash outlay requirement for MOH. (Round variable MOH rate per machine hour to decimal places, e.g. 15.25.) $ $ S Month

The budgeted variable MOH rate at Lindell Corp. is $5.20/machine hour, where every unit requires 2 machine hours. Additionally. following fixed-MOH costs are anticipated for production: depreciation of $2,900, insurance of $400, supervisor salaries of $5,20 and property taxes of $1,100. Assuming budgeted production this month is 8.500 units, prepare the MOH budget for the month, reporting both total budgeted MOH costs and the cash outlay requirement for MOH. (Round variable MOH rate per machine hour to decimal places, e.g. 15.25.) $ $ S Month

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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