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: $\begin{array}{lrlr}\text { Variable }&&\text { Fixed }\
\text { Indirect materials } & \$ 120,000 & \text { Depreciation } & \$ 50,000 \
\text { Indirect labor } & 160,000 & \text { Taxes } & 10,000 \
\text { Factory supplies } & 20,000 & \text { Supervision } & 40,000
\end{array}$ A flexible budget prepared at the 90,000 machine hours level of activity would show total manufacturing overhead costs of
A)$270,000.
B)$360,000.
C)$370,000.
D)$300,000.

Question

Quizplus · Accepted Answer

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: $\begin{array}{lrlr}\text { Variable }&&\text { Fixed }\
\text { Indirect materials } & \$ 120,000 & \text { Depreciation } & \$ 50,000 \
\text { Indirect labor } & 160,000 & \text { Taxes } & 10,000 \
\text { Factory supplies } & 20,000 & \text { Supervision } & 40,000
\end{array}$ A flexible budget prepared at the 90,000 machine hours level of activity would show total manufacturing overhead costs of
A)$270,000.
B)$360,000.
C)$370,000.
D)$300,000.

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