(c) Calculate the variable overhead spending and efficiency variances for November. (Round answers to 0 decimal places, e.g. 125. If variance is zero, select "Not Applicable" and enter 0 for the amounts.) Variable overhead spending variance Favorable $ Unfavorable Variable overhead efficiency variance Not Applicable (d) Calculate the fixed overhead spending variance for November. (Round answer to 0 decimal places, e.g. 125. If variance is zero, select "Not Applicable" and enter O for the amounts.) $ Fixed overhead spending variance Oriole, Ltd. manufactures shirts, which it sells to customers for embroidering with various slogans and emblems. The standard cost card for the shirts is as follows. Standard Price Standard Quantity Standard Cost Direct materials $3 per yard 2.00 yards $6.00 Direct labor $14 per DLH 0.75 DLH 10.50 Variable overhead $3.20 per DLH 0.75 DLH 2.40 Fixed overhead $3 per DLH 0.75 DLH 2.25 $21.15 Sandy Robison, operations manager, was reviewing the results for November when he became upset by the unfavorable variances he was seeing. In an attempt to understand what had happened, Sandy asked CFO Suzy Summers for more information. She provided the following overhead budgets, along with the actual results for November. The company purchased 81,700 yards of fabric and used 93,300 yards of fabric during the month. Fabric purchases during the month were made at $2.80 per yard. The direct labor payroll ran $455,700, with an actual hourly rate of $12.25 per direct labor hour. The annual budgets were based on the production of 597,000 shirts, using 447,000 direct labor hours. Though the budget for November was based on 45,200 shirts, the company actually produced 41,700 shirts during the month. Variable Overhead Budget Annual Budget Per Shirt November-Actual Indirect material $453,000 $1.20 $48,900 Indirect labor 299,000 0.75 31,700 Equipment repair 196,000 0.30 20,500 Equipment power 46,000 0.15 7,200 Total $994,000 $2.40 $108,300 Fixed Overhead Budget Annual Budget November-Actual Supervisory salaries $263,000 $21,700 Insurance 350,000 27,400 Property taxes 75,000 6,400 Depreciation 322,000 25,800 Utilities 209,000 20,700 Quality inspection 281,000 25,300 Total $1,500,000 $127,300 (a) Calculate the direct materials price and quantity variances for November. (If variance is zero, select "Not Applicable" and enter o for the amounts.) $ Direct material price variance $ Unfavorable Not Applicable Favorable Direct material quantity variance (b) Calculate the direct labor rate and efficiency variances for November. (Round answers to 0 decimal places, e.g. 125. If variance is zero, select "Not Applicable" and enter o for the amounts.) Direct labor rate variance $ Direct labor efficiency variance $
