Prepare the manufacturing overhead budget for the year

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Questions -

1. Units to be produced (by quarters): 10,000, 12,000, 15,000, 18,000.

2. Direct labour: 1.5 hours per unit.

3. Variable overhead costs per direct labour hour: indirect materials $0.70; indirect labour $1.20; and maintenance $0.50.

4. Fixed overhead costs per quarter: supervisory salaries $35,000; depreciation $16,000; and maintenance $15,000.

Required - Prepare the manufacturing overhead budget for the year, showing quarterly data.

Reference no: EM132731272

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