Blaze Corp. applies overhead on the basis of direct labor hours. For the month of March, the company planned production of 10,000 units (80% of its production capacity of 12,500 units) and prepared the following budget.

	Operating Levels
Overhead Budget	80%
Production in units		10,000
Standard direct labor hours		20,000
Budgeted overhead
Variable overhead costs
Indirect materials	$	12,200
Indirect labor		16,000
Power		2,000
Maintenance		1,800
Total variable costs		32,000
Fixed overhead costs
Rent of factory building		10,000
DepreciationMachinery		10,700
Taxes and insurance		2,500
Supervisory salaries		18,800
Total fixed costs		42,000
Total overhead costs	$	74,000

During March, the company operated at 90% capacity (11,250 units), and it incurred the following actual overhead costs.

Overhead costs (actual)
Indirect materials	$	12,200
Indirect labor		16,000
Power		2,250
Maintenance		2,835
Rent of factory building		10,000
DepreciationMachinery		10,000
Taxes and insurance		3,050
Supervisory salaries		20,000
Total actual overhead costs	$	76,335

Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Compute the overhead controllable variance. Classify as favorable or unfavorable. (Indicate the effect of each variance by selecting for favorable, unfavorable, and no variance. Do not round intermediate calculations.) Controllable Variance Total actual overhead Flexible budget overhead Total Overhead controllable variance Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Compute the overhead volume variance. Classify as favorable or unfavorable. (Indicate the effect of each variance by selecting for favorable, unfavorable, and no variance. Do not round intermediate calculations.) Volume Variance Volume variance Prepare an overhead variance report at the actual activity level of 9,000 units. Classify as favorable or unfavorable. (Indicate the effect of each variance by selecting for favorable, unfavorable, and no variance. Do not round intermediate calculations.) BLAZE CORP Overhead Variance Report For Month Ended March 31 Expected production volume Production level achieved Volume variance Controllable Variance Flexible Budget Actual Results Variances Fav. / Unfav. Variable overhead costs: Fixed overhead costs: Total overhead costs