{[ promptMessage ]}

Bookmark it

{[ promptMessage ]}

The manufacturing overhead budget at pendley

Info icon This preview shows pages 14–17. Sign up to view the full content.

View Full Document Right Arrow Icon
41. The manufacturing overhead budget at Pendley Corporation is based on budgeted direct labor-hours.  The direct labor budget indicates that 8,900 direct labor-hours will be required in August. The variable  overhead rate is $5.50 per direct labor-hour. The company’s budgeted fixed manufacturing overhead is  $133,500 per month, which includes depreciation of $30,260. All other fixed manufacturing overhead  costs represent current cash flows. The company recomputes its predetermined overhead rate every  month. The predetermined overhead rate for August should be: A) $5.50 B) $17.10 C) $20.50 D) $15.00 Level: Easy    LO:  6    Ans:  C 42. The manufacturing overhead budget at Amrein Corporation is based on budgeted direct labor-hours.  The direct labor budget indicates that 4,900 direct labor-hours will be required in August. The variable  overhead rate is $9.40 per direct labor-hour. The company’s budgeted fixed manufacturing overhead is  $96,040 per month, which includes depreciation of $7,350. All other fixed manufacturing overhead costs  represent current cash flows. The August cash disbursements for manufacturing overhead on the  manufacturing overhead budget should be: 43. Vandel Inc. bases its selling and administrative expense budget on budgeted unit sales. The sales  budget shows 6,600 units are planned to be sold in April. The variable selling and administrative expense  is $9.70 per unit. The budgeted fixed selling and administrative expense is $127,380 per month, which  includes depreciation of $8,580 per month. The remainder of the fixed selling and administrative expense  represents current cash flows. The cash disbursements for selling and administrative expenses on the  April selling and administrative expense budget should be: 44. The selling and administrative expense budget of Ruffing Corporation is based on budgeted unit sales, which are 4,800 units for February. The variable selling and administrative expense is $8.10 per unit. The  budgeted fixed selling and administrative expense is $71,520 per month, which includes depreciation of  $16,800 per month. The remainder of the fixed selling and administrative expense represents current cash  flows. The cash disbursements for selling and administrative expenses on the February selling and  administrative expense budget should be: Brewer, Introduction to Managerial Accounting, 3/e 114
Image of page 14

Info icon This preview has intentionally blurred sections. Sign up to view the full version.

View Full Document Right Arrow Icon
Brewer, Introduction to Managerial Accounting, 3/e 115
Image of page 15
Image of page 16

Info icon This preview has intentionally blurred sections. Sign up to view the full version.

View Full Document Right Arrow Icon
Image of page 17
This is the end of the preview. Sign up to access the rest of the document.

{[ snackBarMessage ]}

What students are saying

  • Left Quote Icon

    As a current student on this bumpy collegiate pathway, I stumbled upon Course Hero, where I can find study resources for nearly all my courses, get online help from tutors 24/7, and even share my old projects, papers, and lecture notes with other students.

    Student Picture

    Kiran Temple University Fox School of Business ‘17, Course Hero Intern

  • Left Quote Icon

    I cannot even describe how much Course Hero helped me this summer. It’s truly become something I can always rely on and help me. In the end, I was not only able to survive summer classes, but I was able to thrive thanks to Course Hero.

    Student Picture

    Dana University of Pennsylvania ‘17, Course Hero Intern

  • Left Quote Icon

    The ability to access any university’s resources through Course Hero proved invaluable in my case. I was behind on Tulane coursework and actually used UCLA’s materials to help me move forward and get everything together on time.

    Student Picture

    Jill Tulane University ‘16, Course Hero Intern