The following budget for the 80,000-unit normal production level was prepared by the Montgomery Corporation for September:
During September, the Production Department actually produced 90,000 units at a total manufacturing cost of $165,000.
-Refer to the above data. Which of the following is not an accurate budgeted amount for an output level of 90,000 units?
A) Total overhead cost, $86,900
B) Total manufacturing costs, $183,150
C) Direct materials, $39,375
D) Direct labor, $49,500

Question

The following budget for the 80,000-unit normal production level was prepared by the Montgomery Corporation for September: 
  During September, the Production Department actually produced 90,000 units at a total manufacturing cost of $165,000.
-Refer to the above data. Which of the following is not an accurate budgeted amount for an output level of 90,000 units?
A) Total overhead cost, $86,900 
B) Total manufacturing costs, $183,150 
C) Direct materials, $39,375 
D) Direct labor, $49,500

Quizplus · Accepted Answer

The Answer is B

The Following Budget for the 80,000-Unit Normal Production Level Was