Hatzenbuhler manufacturing corporation has prepared the following overhead budget for next month.

activity level machine hours 6,800
budgeted variable overhead costs:
supplies 22,440
indirect labor 55,760
total variable overhead cost 78,200
budgeted fixed overhead costs:
supervision 19,300
utilities 5,700
depreciation 7,400
total fixed overhead costs 32,400
total budgeted overhead cost 110,600
the company's variable overhead costs are driven by machine-hours. what would be the total budgeted overhead cost for next month if the activity level is 6,600 machinehours rather than 6,800 machine-hours?

a. $107,824.00

b. $110,600.00

c. $108,300.00

d. $107,347.06

expert ans

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