Answer Happy

Chubbs Inc's manufacturing overhead budget for the first quarter of 2020 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 $13,500, 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 $8,300. 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.)
(a) Prepare a manufacturing overhead flexible budget report for the first quarter. (List variable costs before fixed costs.) CHUBBS INC. Manufacturing Overhead Flexible Budget Report For the Quarter Ended March 31, 2020 Actual Variable Costs Indirect Materials Indirect Labor Utilities Maintenance Total Variable Costs Fixed Costs Supervisory Salaries Depreciation Property Taxes and Insurance Maintenance Total Fixed Costs Total Costs LA LA Budget 12000 i 10000 8000 6000 36000 36000 MI 7000 i 8000 i 5000 56000 92000 LA 13500 9500 8700 5000 36700 36000 7000 i 8300 i 5000 56300 ta tA 4 15 3
$ Difference Favorable Unfavorable Neither Favorable nor Unfavorable i Unfavorable 500 Favorable 700 i Unfavorable 1000 Favorable Unfavorable Neither Favorable nor Unfavorable Neither Favorable nor Unfavorable ✓ Unfavorable Neither Favorable nor Unfavorable Unfavorable Unfavorable 1500 300