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Lowell Company's manufacturing overhead budget for the first quarter of 2014 contained the following data. Variable Costs Fixed Costs Indirect materials $12,000 Supervisory salaries $36,000 Indirect labor 10,000 Depreciation 7,000 Utilities 8,000 Property taxes and insurance 8,000 Maintenance 6,000 Maintenance 5,000 Actual variable costs were: indirect materials $13,900, indirect labor $9,500, utilities $8,700, and maintenance $5,000. Actual fixed costs equaled budgeted costs except for property taxes and insurance, which were $8,400. The actual activity level equaled the budgeted level. All costs are considered controllable by the production department manager except for depreciation, and property taxes and insurance.
(a) Prepare a manufacturing overhead flexible budget report for the first quarter. (List variable costs before fixed costs.)
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