Mathew, Inc Budgeted Fixed Overhead for the Current Year $\begin{array} { l r } \text { Supervision } & \$ 8,000 \\ \text { Depreciation } & 14,000 \\ \text { Rent } & 10,000 \end{array}$

Essay

Mathew, Inc., is looking for feedback on performance. The company compares the budget for the year with the actual costs.
Mathew has the following budgeted data:
Budgeted variable costs per unit:
$\begin{array} { l r } \text { Direct materials } & \$ 10.00 \\ \text { Direct labor } & 12.00 \\ \text { Supplies } & 0.50 \\ \text { Indirectlabor } & 2.00 \\ \text { Power } & 0.20 \end{array}$
Budgeted fixed overhead for the current year:
$\begin{array} { l r } \text { Supervision } & \$ 8,000 \\ \text { Depreciation } & 14,000 \\ \text { Rent } & 10,000 \end{array}$
Required:
Prepare a flexible budget for production costs for the following range of activity: 3,000 units, 5,000 units, and 7,000 units.