FIXED OVERHEAD SPENDING AND VOLUME VARIANCES, COLUMNAR AND FORMULA APPROACHES A company provided the following information:

Standard fixed overhead rate (SFOR) per direct labor hour $7.00 Actual fixed overhead rate (AFOR) per direct labor hour $6.95 Actual direct labor hours worked (AH) 36,100 Actual production in units 12,000 Standard hours allowed for actual units produced (SH) 36,000 Required:
. Using the columnar approach, calculate the fixed overhead spending and efficiency variances.
. Using the formula approach, calculate the fixed overhead spending variance.
. Using the formula approach, calculate the fixed overhead efficiency variance.
. Calculate the total fixed overhead variance.
Cornerstone Exercise