A company's planned activity level for next year is expected to be 100,000 machine hours.At this level of activity, the company budgeted the following manufacturing overhead costs: $\begin{array}{lrlr}\text { Variable }&&\text { Fixed }\
\text { Indirect materials } & \$ 90,000 & \text { Depreciation } & \$ 37,500 \
\text { Indirect labor } & 120,000 & \text { Taxes } & 7,500 \
\text { Factory supplies } & 15,000 & \text { Supervision } & 30,000
\end{array}$ A flexible budget prepared at the 90,000 machine hours level of activity would show total manufacturing overhead costs of
A)$202,500.
B)$270,000.
C)$277,500.
D)$225,000.

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The Answer of A company's planned activity level for next year is expected to be 100,000 machine hours.At this level of activity, the company budgeted the following manufacturing overhead costs: $\begin{array}{lrlr}\text { Variable }&&\text { Fixed }\
\text { Indirect materials } & \$ 90,000 & \text { Depreciation } & \$ 37,500 \
\text { Indirect labor } & 120,000 & \text { Taxes } & 7,500 \
\text { Factory supplies } & 15,000 & \text { Supervision } & 30,000
\end{array}$ A flexible budget prepared at the 90,000 machine hours level of activity would show total manufacturing overhead costs of
A)$202,500.
B)$270,000.
C)$277,500.
D)$225,000.

A Company's Planned Activity Level for Next Year Is Expected