Reference no: EM132601244

Question 1: How do calculate the flexible-budget amount for variable manufacturing overhead?

Christine Corporation manufactures baseball uniforms and uses budgeted machine-hours to allocate variable manufacturing overhead. The following information pertains to the company's manufacturing overhead data:

Budgeted output units                                                                       10,000 units

Budgeted machine-hours                                                                    15,000 hours

Budgeted variable manufacturing overhead costs for 20,000 units                 $180,000

Actual output units produced                                                                 9,000 units

Actual machine-hours used                                                                     14,000 hours

Actual variable manufacturing overhead costs                                                $171,000

Question 2: What is the flexible-budget amount for variable manufacturing overhead?

Option 1: $162,000

Option 2: $171,000

Option 3: $190,000

Option 4: None of the above