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A company's planned activity level for next year is expected to be 100000 machine hours. At this level of activity the company budgeted the following manufacturing overhead costs: Variable Fixed Indirect materials $90,000 Depreciation $37,500 Indirect labor 120,000 Taxes 7,500 Factory supplies 15,000 Supervision 30,000\begin{array}{lrlr}\text { Variable }&&\text { Fixed }\\\hline \text { Indirect materials } & \$ 90,000 & \text { Depreciation } & \$ 37,500 \\\text { Indirect labor } & 120,000 & \text { Taxes } & 7,500 \\\text { Factory supplies } & 15,000 & \text { Supervision } & 30,000\end{array} Variable Indirect materials Indirect labor Factory supplies $90,000120,00015,000 Fixed Depreciation Taxes Supervision $37,5007,50030,000 A flexible budget prepared at the 90000 machine hours level of activity would show total manufacturing overhead costs of
A) $202500.
B) $270000.
C) $277500.
D) $225000.
On May 24, 2024