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Flexible Budget for Varying Levels of Activity

Nashler Company has the following budgeted variable costs per unit produced:

Direct materials $$7\mathrm{.}20$

Direct labor $1\mathrm{.}54$

Variable overhead:

Supplies $0\mathrm{.}23$

Maintenance $0\mathrm{.}19$

Power $0\mathrm{.}18$

Budgeted fixed overhead costs per month include supervision of $$98,000,$ depreciation of $$76,000,$ and other overhead of $$245,000.$

Required:

Question Content Area

$1.$ Prepare a flexible budget for all costs of production for the following levels of production: $160,000$ units, $170,000$ units, and $175,000$ units. Round your answers to the nearest cent, if required.

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Nashler Company

Flexible Budget

Variable cost per unit Range of Production in Units $160,000$ Range of Production in Units $170,000$ Range of Production in Units $175,000$

Production costs:

Variable:

Direct materials $fill in the blank c$4$e$4$f$4089$fb$6028\_1$ $fill in the blank c$4$e$4$f$4089$fb$6028\_2$ $fill in the blank c$4$e$4$f$4089$fb$6028\_3$ $fill in the blank c$4$e$4$f$4089$fb$6028\_4$

Direct labor fill in the blank c$4$e$4$f$4089$fb$6028\_5$ fill in the blank c$4$e$4$f$4089$fb$6028\_6$ fill in the blank c$4$e$4$f$4089$fb$6028\_7$ fill in the blank c$4$e$4$f$4089$fb$6028\_8$

Variable overhead:

Supplies fill in the blank c$4$e$4$f$4089$fb$6028\_9$ fill in the blank c$4$e$4$f$4089$fb$6028\_10$ fill in the blank c$4$e$4$f$4089$fb$6028\_11$ fill in the blank c$4$e$4$f$4089$fb$6028\_12$

Maintenance fill in the blank c$4$e$4$f$4089$fb$6028\_13$ fill in the blank c$4$e$4$f$4089$fb$6028\_14$ fill in the blank c$4$e$4$f$4089$fb$6028\_15$ fill in the blank c$4$e$4$f$4089$fb$6028\_16$

Power fill in the blank c$4$e$4$f$4089$fb$6028\_17$ fill in the blank c$4$e$4$f$4089$fb$6028\_18$ fill in the blank c$4$e$4$f$4089$fb$6028\_19$ fill in the blank c$4$e$4$f$4089$fb$6028\_20$

Total variable costs $fill in the blank c$4$e$4$f$4089$fb$6028\_21$ $fill in the blank c$4$e$4$f$4089$fb$6028\_22$ $fill in the blank c$4$e$4$f$4089$fb$6028\_23$ $fill in the blank c$4$e$4$f$4089$fb$6028\_24$

Fixed overhead:

Supervision $fill in the blank c$4$e$4$f$4089$fb$6028\_25$ $fill in the blank c$4$e$4$f$4089$fb$6028\_26$ $fill in the blank c$4$e$4$f$4089$fb$6028\_27$

Depreciation fill in the blank c$4$e$4$f$4089$fb$6028\_28$ fill in the blank c$4$e$4$f$4089$fb$6028\_29$ fill in the blank c$4$e$4$f$4089$fb$6028\_30$

Other overhead fill in the blank c$4$e$4$f$4089$fb$6028\_31$ fill in the blank c$4$e$4$f$4089$fb$6028\_32$ fill in the blank c$4$e$4$f$4089$fb$6028\_33$

Total fixed costs $fill in the blank c$4$e$4$f$4089$fb$6028\_34$ $fill in the blank c$4$e$4$f$4089$fb$6028\_35$ $fill in the blank c$4$e$4$f$4089$fb$6028\_36$

Total production costs $fill in the blank c$4$e$4$f$4089$fb$6028\_37$ $fill in the blank c$4$e$4$f$4089$fb$6028\_38$ $fill in the blank c$4$e$4$f$4089$fb$6028\_39$

Question Content Area

$2.$ What is the per$-$unit total product cost for each of the production levels from Requirement $1?($Round each unit cost to the nearest cent.$)$

Per$-$unit Product Cost

$160,000$ $fill in the blank $6819$c$6$fce$074029\_1$

$170,000$ $fill in the blank $6819$c$6$fce$074029\_2$

$175,000$ $fill in the blank $6819$c$6$fce$074029\_3$

Question Content Area

$3.$ What if Nashler Company$$s cost of maintenance rose to $$0\mathrm{.}22$ per unit? How would that affect the unit product costs calculated in Requirement $2?$ If required, round your answer to the nearest cent.

by $fill in the blank eccfc$2$f$7$af$8304$e$\_2$ per unit

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