Problem 20-2 Delta Company’s flexible budget formula for overhead costs is $100,000 per month foxed costs plus $26.00 per unit variable costs….

Problem 20-2Delta Company’s flexible budget formula for overhead costs is $100,000 per month foxed costs plus $26.00 per unit variable costs. Standard volume is 5,000 units a month. Actual overhead costs for June were $280,000, and output was 6,000 units. Questions:Determine for June:a) Budgeted overhead at standard volume.b) Overhead absorption rate.c) Overhead costs absorbed in June.d) June’s overhead production volume variance.e) June’s overhead spending variance.f) June’s net overhead variance.

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