Pharoah Company expects to produce 6,000 units of product IOA during the current year. Budgeted variable manufacturing costs per unit are direct materials $8, direct labour $13, and overhead $19. Monthly budgeted fixed manufacturing overhead costs are $7,700 for depreciation and $3,500 for supervision. In the current month, Pharoah produced 6,500 units and incurred the following costs: direct materials $48,288, direct labour $79,600, variable overhead $133,494, depreciation $7,700, and supervision $3,738. Prepare a static budget report. (List variable costs before fixed costs.)

Pharoah Company expects to produce 6,000 units of product IOA during the current year. Budgeted variable manufacturing costs per unit are direct materials $8, direct labour $13, and overhead $19. Monthly budgeted fixed manufacturing overhead costs are $7,700 for depreciation and $3,500 for supervision. In the current month, Pharoah produced 6,500 units and incurred the following costs: direct materials $48,288, direct labour $79,600, variable overhead $133,494, depreciation $7,700, and supervision $3,738. Prepare a static budget report. (List variable costs before fixed costs.)

Principles of Cost Accounting

17th Edition

ISBN:9781305087408

Author:Edward J. Vanderbeck, Maria R. Mitchell

Publisher:Edward J. Vanderbeck, Maria R. Mitchell

Chapter10: Cost Analysis For Management Decision Making

Section: Chapter Questions

Problem 15P

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