Reference no: EM1347828
Keel company's fixed overhead costs for the year are expected to be as follows:
Depreciation, $72,000; supervisory salaries, $92,000; property taxes and insurance, $26,000; and other fixed overhead, $14,500. Total fixed overhead is thus expected to be $204,500. Variable costs per unit are expected to be as follows: direct materials, $16.50; direct labor, $8.50; operating supplies, $2.60; indirect labor, $4.10; and other variable overhead costs, $3.20.
Make a flexible budget for following levels of production: 18,000 units, 20,000 units, and 22,000 units.
Find out the flexible budget formula for the year ended December 31?
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