Acc415

Acc415

Prepare a flexible budget of gbalaca Nigeria limited for the year 2015 for the overhead expenses of the production department at the activity level of 80percent,90percent,100percent using the information listed below: (a)the direct labour hourly rate is expected to be 4.65naira. (b)100percent activity level represents 80,000direct labour hours.(c)variable cost:indirect labour is 0.85naira per direct labour hours consumable supplies-0.575naira per direct labour hour.canteen and other welfare services is 8percent of direct and indirect labour cost.(d) semi variable costs are expected to correlate with the direct labour hours in the same manner for the last five years which are as follows: Year dl/hours overhead 2011 74,000 30,800. 2012 69,000 29,800. 2013 6300 28,600. 2014 59000 27,600. 2015 50,000 26,000estimate (e) fixed cost includes the following (1)depreciation 28,000naira (2)maintenance 20,000 naira(3)insurance 6,000naira (4)rates 25,000naira (5)management salaries 35,000naira. Show all the workings

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