This Question: 8 pts 28 of 39 (24 complete) This Test: 125 pts possible Question

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This Question: 8 pts 28 of 39 (24 complete) This Test: 125 pts possible Question Help Yandell Company expects to produce 2,030 units in January that will require 8,120 hours of direct labor and 2270 units in February that will require 9,080 hours of direct labor. Yandell budgets $4 per unit for variable manufacturing overhead, $1,400 per month for depreciation; and $41,600 per month for other fixed manufacturing ovemead costs. Prepare Yandell's manufacturing overhead budget for January and February, including the predetermined overhead allocation rate using direct labor hours as the allocation base (Abbreviations used: VOH-variable manufacturing overhead: FOH fixed manufactunng overhead ) Yandell Company Manufacturing Overhead Budget Two Month Ended January 31 and February 28 JanuaryFebruary Total Budgeted units to be produced VOH cost per unit Budgeted VOH Budgeted FOH Other FOH costs Total budgeted FOH Budgeted manufacturing overhead costs Direct labor hours Budgeted manufacturing overhead costs Predetermined overhead alocation rate t fields

Explanation / Answer

MANUFACTURING OVERHEADS BUDGET JAN FEB TOTAL Budgeted Units to be produced 2030 2270 4300 VOH cocst per unit 4 4 4 Budgeted VOH 8120 9080 17200 Budgeted FOH Depreciation 1400 1400 2800 Other FOH cost 41600 41600 83200 Total Budgeted FOH 43000 43000 86000 Budgeted manufacturing OH cost 103200 Direct labour hours 8120 9080 17200 Budgeted manufacturing OH cost 103200 Pre-determined OH rate 6

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