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The Mixing Department manager of Malone Company is able to control all overhead costs except rent, property taxes, and salaries. Budgeted monthly overhead costs for the Mixing Department, in alphabetical order, are:
Indirect labor $12,640
Property taxes $1,020
Indirect materials 8,090
Rent 1,980
Lubricants 3,670
Salaries 10,290
Maintenance 5,330
Utilities 6,860
Actual costs incurred for January 2014 are indirect labor $14,740; indirect materials $12,190; lubricants $1,630; maintenance $5,330; property taxes $1,240; rent $1,980; salaries $10,290; and utilities $6,590.
(a) Prepare a responsibility report for January 2014. MALONE COMPANY Mixing Department Responsibility Report For the Month Ended January 31, 2014 Difference Controllable Costs Budget Actual Favorable (F) Unfavorable (U) Neither Favorable nor Unfavorable (N) Entry field with correct answer $Entry field with correct answer
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