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E24-12 The Mixing Department manager of Crede Company is able to control all overhead costs except rent, property taxes, and salaries

E24-12 The Mixing Department manager of Crede Company is able to control all overhead costs except rent, property taxes, and salaries
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ACCOUNTING

E24-12 The Mixing Department manager of Crede Company is able to control all overhead costs except rent, property taxes, and salaries. Budgeted monthly overhead costs for the Mixing Department, in alphabetical order, are:

Indirect labor $12,000 Property taxes $1,000
Indirect materials 7,500 Rent 1,800
Lubricants 1,700 Salaries 10,000
Maintenance 3,500 Utilities 5,000

Actual costs incurred for January 2010 are indirect labor $12,200; indirect materials $10,200; lubricants $1,650; maintenance $3,500; property taxes $1,100; rent $1,800; salaries $10,000; and utilities $6,500.

Instructions
a) Complete the responsibility report for January 2010
b) What would be the likely result of management's analysis of the report?

 

FILE: MS WORD

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