Blaze Corp. applies overhead on the basis of direct labor hours. For the month of March, the company planned production of 8,000 units (80% of its production capacity of 10,000 units) and prepared the following budget. Operating Levels 80% 8,888 30,000 overhead Budget Production in units Standard direct labor hours Budgeted overhead variable overhead costs Indirect materials Indirect labor Power Maintenance Total variable costs Fixed overhead costs Rent of factory building Depreciation-Machinery Taxes and insurance Supervisory salaries Total fixed costs Total overhead costs $10,888 16,888 4,200 2,800 33,888 13,000 20,100 2,800 12,989 48,888 $81,000 During March, the company operated at 90% capacity (9,000 units), and it incurred the following actual overhead costs. Overhead costs (actual) Indirect materials Indirect labor Power Maintenance Rent of factory building Depreciation-Machinery Taxes and insurance Supervisory salaries Total actual overhead costs $10,000 16,000 4,725 3,918 13,000 19,400 2,650 13,350 $83,035 1. Compute the overhead controllable varlance. 2. Compute the overhead volume variance. 3. Prepare an overhead varlance report at the actual activity level of 9,000 units. 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 S 83,035 Total actual overhead Flexible budget overhead Variable Fixed Total 0 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 Required 1 Required 2 Required 3 Prepare an overhead variance report at the actual activity level of 9,000 units. Classify as favorable or unfavorab the effect of each variance by selecting for favorable, unfavorable, and no variance. Do not round intermediate ca 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