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Steelcase Inc._Flexible Budget

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Question;Steelcase Inc. is one of the largest manufacturers of office furniture in the United States.In Grand Rapids, Michigan, it produces filing cabinets in two departments: Fabrication and Trim Assembly.Assume the following information for the Fabrication Department:Steel per filing cabinet50 poundsDirect labor per filing cabinet18 minutesSupervisor salaries$130,000 per monthDepreciation$20,000 per monthDirect labor rate$16 per hourSteel Cost$1.25 per poundPrepare a flexible budget for 12,000, 15,000, and 18,000 filing cabinets for the month of October 2008, similar to Exhibit 5, assuming that inventories are not significant.

 

Paper#37500 | Written in 18-Jul-2015

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