Answer:
total budgeted overhead for July is $28480
Explanation:
given data
production in July = 7900 unit
Variable factory overhead = $1.20 per unit
fixed factory overhead = $19,000
factory equipment depreciation = $3,000
to find out
Compute the total budgeted overhead for July
solution
we get here total budgeted overhead that is computed as
total budgeted overhead is = variable factory overhead and + fixed factory overhead ....................a
and here variable factory overhead is
variable factory overhead = production × overhead per unit ...........b
put here value we get
variable factory overhead = 7900 × 1.20
variable factory overhead = 9480
now
put all value equation in a we get
total budgeted overhead is = 9480 + 19000
total budgeted overhead for July is $28480
