Bahr Corporation has provided the following data for February.

Denominator level of activity	5,500 machine-hours
Budgeted fixed manufacturing overhead costs	$91,850
Fixed component of the predetermined overhead rate	$16.70 per machine-hour
Actual level of activity	5,600 machine-hours
Standard machine-hours allowed for the actual output	5,600 machine hours
Actual fixed manufacturing overhead costs	$88,750

Required:

1. Compute the budget variance for February. Show your work.
2. Compute the volume variance for February. Show your work.