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Question - The following overhead data are for a department of a large company.
Actual Costs Incurred
Static Budget
Activity level (in units)
500
450
Variable costs:
Indirect materials
$5,950
$5,382
Electricity
$1,112
$1,008
Fixed costs:
Administration
$2,770
$2,800
Rent
$5,120
$5,100
Required: Construct a flexible budget performance report that would be useful in assessing how well costs were controlled in this department.
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