Question

When preparing the operating budgets for a manufacturing company, the manufacturing overhead budget ________. only includes variable manufacturing overhead includes costs that are projected by the cost accountant and the production manager only computes the budgeted overhead cost for the year represents the last period cost to be considered?

Answer 1

When preparing the operating budgets for a manufacturing company, the manufacturing overhead budget includes costs that are projected by the cost accountant and the production manager. It contains the all manufacturing costs and expenses, except the direct materials (raw materials) and direct labor.