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Hockey Pro budgets production of 3,900 hockey pucks during May. The company assigns variable overhead at the rate of $1.50 per unit. Fixed overhead equals $46,000 per month. Prepare a factory overhead budget for May.

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abiolataiwo2015

Answer:

$51,850

Explanation:

Preparation of a factory overhead budget for May.

Budgeted Fix Overhead $46,000

Budgeted Variable Overhead $5,850

(3900*$1.50)

Budgeted Total Overhead $51,850

(46,000+5,850)

Therefore factory overhead budget for May is $51,850

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