Flexible Budget
Cost Formula to calculate Manufacturing Overhead Emory Company as follow. Cost Formula relevant for range 15.000 to 25.000 machine hours annually.
| Overhead Cost |
Cost Formula |
| Utilities |
$0.30 per machine hours |
| Indirect Labor |
$52.000 plus $1.40 machine hours |
| Supplies |
$0.20 per machine hours |
| Maintenance |
$18.000 plus $0.10 per machine hours |
| Depreciation |
$90.00 |
Required:
a. Make flexibel budget for increment 5.000 mathinc hours
b. Calculate all expenses into your budget