Question

1. Factory Overhead Cost Budget

   Sweet Tooth Candy Company budgeted the following costs for anticipated production for August:

   Advertising expenses	$277,360
   Manufacturing supplies	15,200
   Power and light	45,340
   Sales commissions	306,540
   Factory insurance	26,400
   Production supervisor wages	133,350
   Production control wages	34,670
   Executive officer salaries	282,690
   Materials management wages	38,130
   Factory depreciation	21,600

   Prepare a factory overhead cost budget, separating variable and fixed costs. Assume that factory insurance and depreciation are the only fixed factory costs.

   Sweet Tooth Candy Company
   Factory Overhead Cost Budget
   For the Month Ending August 31
   Variable factory overhead costs:
   	$
   Total variable factory overhead costs		$
   Fixed factory overhead costs:
   	$
   Total fixed factory overhead costs
   Total factory overhead costs		$

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Answer 1

Sweet Tooth Candy Company
Factory Overhead Cost Budget
For the Month Ending August 31
Variable factory overhead costs:
Manufacturing supplies	$                        15,200
Power and light	$                        45,340
Production supervisor wages	$                      133,350
Production control wages	$                        34,670
Materials management wages	$                        38,130
Total variable factory overhead costs		$                     266,690
Fixed factory overhead costs:
Factory insurance	$                        26,400
Factory depreciation	$                        21,600
Total fixed factory overhead costs		$                        48,000
Total factory overhead costs		$                     314,690