Leno manufacturing company prepared the following factory overhead cost budget for the press department for october of the current year, during which it expected to require 9,000 hours of productive capacity in the department: variable overhead costs: indirect factory labor $70,200 power and light 3,870 indirect materials 27,900 total variable overhead cost $101,970 fixed overhead costs: supervisory salaries $35,690 depreciation of plant and equipment 22,430 insurance and property taxes 14,280 total fixed overhead cost 72,400 total factory overhead cost $174,370 assuming that the estimated costs for november are the same as for october, prepare a flexible factory overhead cost budget for the press department for november for 7,000, 9,000, and 11,000 hours of production. round your interim computations to the nearest cent, if required. enter all amounts as positive numbers.

Instructions are listed below.

Explanation:

Giving the following information:

Press Department for October of the current year, during which it expected to require 9,000 hours of productive capacity in the department:

9,000 hours:

Variable overhead costs:

Indirect factory labor $70,200 (70,200/9000=7.8)

Power and light 3,870 (0.43)

Indirect materials 27,900 (3.1)

Total variable overhead cost $101,970

Fixed overhead costs:

Supervisory salaries $35,690

Depreciation of plant and equipment 22,430

Insurance and property taxes 14,280

Total fixed overhead cost 72,400

Total factory overhead cost $174,370

7,000 hours:

Variable overhead costs:

Indirect factory labor (7000*7.8)= 54,600

Power and light (0.43*7000)= 3,010

Indirect materials (3.1*7000)= 21,700

Total variable overhead cost $79,310

Total fixed overhead cost 72,400

Total factory overhead cost $151,710

11,000 hours:

Variable overhead costs:

Indirect factory labor (11000*7.8)= 85,800

Power and light (0.43*11000)= 4,730

Indirect materials (3.1*11000)= 34,100

Total variable overhead cost $124,630

Total fixed overhead cost 72,400

Total factory overhead cost $197,030

how does that happen,where u steel points

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