Fixed overhead costs per month are: Supervision $4000 Depreciation $1500 and Pr

Fixed
overhead costs per month are: Supervision $4000 Depreciation $1500
and Property Taxes $800. The company believes it will normally operate
in a range of 7000-10000 direct labor hours per month. Assume that in
July 2010 Raney Company incurs the following manufacturing overhead
costs.Variable CostsFixed CostsIndirect labor $8700 Supervision $4000Indirect materials 4300 Depreciation 1500Utilities 3200 Property taxes 800a)
Prepare a flexible budget performance report assuming that the company
worked 9000 direct labor hours during the month. (If answer is zero
please enter 0 as the amount. Enter NA as the variance. Do not leave any
fields blank. Enter all amounts as positive amounts.)b) Prepare a flexible budget performance report assuming that the company worked 8500 direct labor hours during the month.c) Comment on your finding.