Reference no: EM132603038
Nutri bullet manufactures premium food processors. The company allows 3 machine-hours per unit in its budget. The following are some manufacturing overhead data for Nutri Bullet for the year ended December 31, 2019:
Manufacturing overhead Actual Results Flexible Budget Allocated amount
Variable $51,480 $79,950 $79,950
Fixed $350,210$ 343,980 $380,250
Budgeted number of machine-hours: 1,764 machine hours
Actual number of machine-hours used: 1,170
Static-budget variable manufacturing overhead costs: $72,324
Question 1: What is the Budgeted fixed MOH costs per machine-hour?
Option 1: $186.00 per machine-hour.
Option 2: $41.00 per machine-hour.
Option 3: $236.00 per machine-hour.
Option 4: $195.00 per machine-hour.