E8-27 (similar to) Question Help The Ortiz Company uses standard costing in its manufacturing plant for auto parts. The standard cost of a particular auto part, based on a denominator level of 4,200 output units per year, included 5 machine-hours of variable manufacturing overhead at $8 per hour and 5 machine-hours of fixed manufacturing overhead at $13 per hour. Actual output produced was 4,800 units. Variable manufacturing overhead incurred was $245,000. Fixed manufacturing overhead incurred was $373,000. Actual machine-hours were 26,500. 1. Prepare an analysis of all variable manufacturing overhead and fixed manufacturing overhead variances, using the 4-variance analysis Prepare journal entries using the 4 Describe how individual fixed manufacturing overhead items are controlled from day to day. Discuss possible causes of the fixed manufacturing overhead variances. 2. 3. -variance analysis. 4