Compute total budgeted overhead to be reported on factory

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Problem 1: Flagstaff Company has budgeted production units for July of 8,200 units. Variable factory overhead is $1.2 per unit. Budgeted fixed factory overhead is $20,500, which includes $3,300 of factory equipment depreciation. Compute the total budgeted overhead to be reported on the factory overhead budget for the month.

Multiple Choice

Option 1: $27,040.
Option 2: $20,500.
Option 3: $25,400.
Option 4: $30,340.
Option 5: $9,840.

Reference no: EM132973582

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