of normal capacity.
31. The monthly budgets for the manufacturing overhead of a concern for two levels of activity were as
follows:
Activity level
60%
Budgeted production (units)
600
1.000
100%
Wages
Consumable stores
Maintenance
Power and fuel
Depreciation
Insurance
You are required to:
(a) Indicate which of the items are fixed, semi-fixed and variable.
(b) Prepare a flexible budget for 80% activity.
1,200
900
1,100
1,600
4,000
1,000
2,000
1,500
1,500
2,000
1,000
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I think question wrong....
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