Wyckam Manufacturing Incorporated has provided the following estimates concerning its manufacturing costs: Direct materials Direct labor Supplies Utilities Depreciation Insurance Fixed Cost Direct materials Direct labor per Month $ 42,100 $ 1,200 $ 14,600 $ 11,400 For example, utilities should be $1,200 per month plus $0.25 per machine-hour. The company expects to work 4,000 machine- hours in June. Note that the company's direct labor is a fixed cost. Supplies Utilities Cost per Machine- Hour $5.50 Required: Prepare the company's planning budget for June. Wyckam Manufacturing Incorporated Planning Budget for Manufacturing Costs For the Month Ended June 30 Depreciation Insurance Total manufacturing cost $ 0.30 $ 0.25

Cornerstones of Cost Management (Cornerstones Series)
4th Edition
ISBN:9781305970663
Author:Don R. Hansen, Maryanne M. Mowen
Publisher:Don R. Hansen, Maryanne M. Mowen
Chapter2: Basic Cost Management Concepts
Section: Chapter Questions
Problem 13E: Wyandotte Company provided the following information for the last calendar year: During the year,...
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Wyckam Manufacturing Incorporated has provided the following estimates concerning its manufacturing costs:
Direct materials
Direct labor
Supplies
Utilities
Depreciation
Insurance
Fixed
Cost
per
Month
$ 42,100
$ 1,200
$
14,600
$ 11,400
For example, utilities should be $1,200 per month plus $0.25 per machine-hour. The company expects to work 4,000 machine-
hours in June. Note that the company's direct labor is a fixed cost.
Direct materials
Direct labor
Cost per
Machine-
Hour
$ 5.50
Required:
Prepare the company's planning budget for June.
Wyckam Manufacturing Incorporated
Planning Budget for Manufacturing Costs
For the Month Ended June 30
Supplies
Utilities
Depreciation
Insurance
Total manufacturing cost
$ 0.30
$ 0.25
Transcribed Image Text:Wyckam Manufacturing Incorporated has provided the following estimates concerning its manufacturing costs: Direct materials Direct labor Supplies Utilities Depreciation Insurance Fixed Cost per Month $ 42,100 $ 1,200 $ 14,600 $ 11,400 For example, utilities should be $1,200 per month plus $0.25 per machine-hour. The company expects to work 4,000 machine- hours in June. Note that the company's direct labor is a fixed cost. Direct materials Direct labor Cost per Machine- Hour $ 5.50 Required: Prepare the company's planning budget for June. Wyckam Manufacturing Incorporated Planning Budget for Manufacturing Costs For the Month Ended June 30 Supplies Utilities Depreciation Insurance Total manufacturing cost $ 0.30 $ 0.25
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