Calculating the Fixed Overhead Spending and Volume Variances Standish Company manufactures consumer products and provided the following information for the month of February: Units produced Standard direct labor hours per unit 132,000 0.2 Standard fixed overhead rate (per direct labor hour) $2.30 Budgeted fixed overhead $64,300 Actual fixed overhead costs $68,600 Actual hours worked 26,800 Required: 1. Calculate the fixed overhead spending variance using the formula approach. 2. Calculate the volume variance using the formula approach. 3. What if 127,100 units had actually been produced in February? What impact would that have had? Indicate what the new variances would be below. Fixed Overhead Spending Variance Volume Variance