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The manufacturing overhead budget at Rost Corporation is based on budgeted direct labor-hours. The direct...

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Accounting

The manufacturing overhead budget at Rost Corporation is based on budgeted direct labor-hours. The direct labor budget indicates that 4,800 direct labor-hours will be required in September. The variable overhead rate is $9 per direct labor-hour. The company's budgeted fixed manufacturing overhead is $63,120 per month, which includes depreciation of $5,640. All other fixed manufacturing overhead costs represent current cash flows. The September cash disbursements for manufacturing overhead on the manufacturing overhead budget should be:

$106,320.

$57,480.

$100,680.

$43,200.

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