Question - Dawson Factory prepares a flexible budget every month.August's budget contained the following information. Please use the high-low method to answer. Please Show work.
Level of Activity: Total Budgeted Overhead:
40,000 Direct labor hours $164,900
60,000 Direct labor hours $199,000
Required:
a. What's the standard variable overhead rate in August?
b. How much fixed overhead was budgeted in August?