A company manufactures binoculars. The cost of each pair of binoculars includes direct materials, direct labor, and

manufacturing $($factory$)$ overhead. The firm traces all direct costs to products, and it assigns overhead cost to products

based on direct labor hours.

The company budgeted $$10,045$ variable factory overhead cost, $$93,100$ for fixed factory overhead cost and $2,450$ direct

labor hours $($its practical capacity$)$ to manufacture $4,900$ pairs of binoculars in March.

The factory used $4,600$ direct labor hours in March to manufacture $4,700$ pairs of binoculars and spent $$17,700$ on variable

overhead during the month. The actual fixed overhead cost incurred for the month was $$97,000.$

Compute the following for the month indicate whether each variance is favorable $($F$)$ or unfavorable $($U$)$:

Variable overhead spending variance

Variable overhead efficiency variance

Fixed overhead budget $($spending$)$ variance

Fixed overhead volume variance

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Calculate the following variances. Indicate whether each variance is favorable $($F$)$ or unfavorable $($U$).$