Problem - The direct labor budget of Yuvwell Corporation for the upcoming fiscal year contains the following details concerning budgeted direct labor-hours:
|
|
1st Quarter
|
2nd Quarter
|
3rd Quarter
|
4th Quarter
|
|
Budgeted direct labor-hours
|
11,600
|
10,000
|
10,300
|
11,100
|
The company's variable manufacturing overhead rate is $6.50 per direct labor-hour and the company's fixed manufacturing overhead is $84,000 per quarter. The only noncash item included in fixed manufacturing overhead is depreciation, which is $21,000 per quarter.
Required:
1. Complete the company's manufacturing overhead budget for the upcoming fiscal year.
2. Compute the company's manufacturing overhead rate (including both variable and fixed manufacturing overhead) for the upcoming fiscal year.