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Wildhorse Company uses a flexible budget for manufacturing overhead based on direct labor hours. Variable manufacturing overhead costs per direct labor hour are as follows. Indirect labor Indirect materials Utilities Indirect labor $1.30 Fixed overhead costs per month are Supervision $4,500, Depreciation $1,500, and Property Taxes $700. The company believes it will normally operate in a range of 6,100-10,600 direct labor hours per month. Assume that in July 2022, Wildhorse Company incurs the following manufacturing overhead costs. Indirect materials 0.60 Variable Costs Utilities 0.30 $11,560 5,290 Fixed Costs Supervision Depreciation 2,280 Property taxes $4,500 1,500 700 (a) Prepare a flexible budget performance report, assuming that the company worked 9,100 direct labor hours during the month. (List variable costs before fixed costs.) WILDHORSE COMPANY Manufacturing Overhead Flexible Budget Report For the Month Ended July 31, 2022

Wildhorse Company uses a flexible budget for manufacturing overhead based on direct labor hours. Variable manufacturing overhead costs per direct labor hour are as follows. Fixed overhead costs per menthare Supervision $4,500, Depreciation $1.500, and Property Taxes $700. The company belleves it will normally operate in a range of 6,10010,600 diroct labor hours per month. Assume that in July 2022. Wildhorse Compamy incurs the followingmanufacturing overhead costs. (a) Prepare alleable budget performance report, issuming that the company worked 9,100 direct labor hours durirk the month (blit warloble conts before fixed costs) variatie costs before fored corts. WILDHORSE COMPANY Manufacturing Overhead Flexible Budget Report For the Month Ended July 31, 2022 Differen Favorab Unfavoral Neither Fave nor Unfavol WILDHORSE COMPANY Manufacturing Overhead Flexible Budget Report For the Month Ended July 31, 2022 Difference Favorable Unfavorable Neither Favorable Budget Actual Costs nor Unfavorable (b) Prepare a flexible budget performance report, assuming that the compamy worked 8,100 direct labor hours during the month. fList. varlable corts befone foud coits.) WILDHORSE COMPANY Manufacturing Overhead Flexible Budget Report For the Month Ended July 31, 2022 Difference Favorable Unfavorable Neither Favorable Budget. Actual Costs nor Unfavorable

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