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algol [13]
3 years ago
10

BE9.6 (LO 3), AP For Roche Inc., variable manufacturing overhead costs are expected to be $20,000 in the first quarter of 2020,

with $5,000 increments in each of the remaining three quarters. Fixed overhead costs are estimated to be $40,000 in each quarter. Prepare the manufacturing overhead budget by quarters and in total for the year. Prepare a manufacturing overhead budget.
Business
1 answer:
kirill115 [55]3 years ago
4 0

Answer:

Instructions are below.

Explanation:

Giving the following information:

Variable manufacturing overhead costs are expected to be $20,000 in the first quarter of 2020, with $5,000 increments in each of the remaining three quarters.

Fixed overhead costs are estimated to be $40,000 in each quarter.

<u>Manufacturing overhead budget:</u>

Variable overhead

Fixed overhead

Total overhead

Q1:

Variable overhead= 20,000

Fixed overhead= 40,000

Total overhead= 60,000

Q2:

Variable overhead= 25,000

Fixed overhead= 40,000

Total overhead= 65,000

Q3:

Variable overhead= 30,000

Fixed overhead= 40,000

Total overhead=70,000

Q4:

Variable overhead= 35,000

Fixed overhead= 40,000

Total overhead= 75,000

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