Packaging Solutions Corporation manufactures and sells a wid

Packaging Solutions Corporation manufactures and sells a wide variety of packaging products.Perfomance reports are prepared monthly for each department The planning budget and fexble budget for the Production Department are based on the following formulas, where q is the number of labor-hours worked in a month: 10.50? 5 4.400 +3 200q 5,700 $ 0.70 5 1,800 020q 18,300 3.10q 8,300 5 2.800 $13200+3 0 804 Indirect labor Ubities Supples Factory rent Property tanes The actual costs incurred in March in the Production Department are isted below Actual noumed in Direct labor Indirect labor Uines 5 12,180 S 9,100 2870 31.010 $ 8,700 5 2.800 15.870 Factory rent Property taxes Factory adminisraon hours in Math Complete the Production Department\'s planning budget for 1, The company had budpeted for an activity evel of 4,300b Production Department Planning Budget For the Month Ended March 31 Direct labor Indinect laber hines aetory rent Poperty 18 O Type here to search

Solution

1) Production department Planning Budget

	Fixed Amount $	Hourly Rate    $	Hours	Planning Budget         $
	A	B	C	A+(B*C)
Direct Labour		16.5	4,300	70,950
Indirect Labour	4,400	2.00	4,300	13,000
Utilities	5,700	0.70	4,300	8,710
Supplies	1,600	0.20	4,300	2,460
Equipment Depreciation	18,300	3.10	4,300	31,630
Factory Rent	8,300	0	4,300	8,300
Propert Taxes	2,800	0	4,300	2,800
Factory Administration	13,200	0.80	4,300	16,640
				154,490