Factory Overhead Cost Variance Report Tiger Equipment Inc., a manufacturer of construction equipment, prepared the following factory overhead cost budget for the Welding Department for May of the current year. The company expected to operate the department at 100% of normal capacity of 5,100 hours. Variable costs: Indirect factory wages Power and light Indirect materials $16,830 9,588 Total variable cost Fixed costs: Supervisory salaries 8,058 $34,476 $8,800 Depreciation of plant and equipment 22,570 Insurance and property taxes 6,880 Total fixed cost Total factory overhead cost 38,250 $72,726 During May, the department operated at 5,400 standard hours. The factory overhead costs incurred were indirect factory wages, $18,000; power and light, $9,970; indirect materials, $8,700; supervisory salaries, $8,800; depreciation of plant and equipment, $22,570; and insurance and property taxes, $6,880. Required: Prepare a factory overhead cost variance report for May. To be useful for cost control, the budgeted amounts should be based on 5,400 hours. Enter a favorable variance as a negative number using a minus sign and an unfavorable variance as a positive number. Round your per unit computations to the nearest cent, if required. If an amount box does not require an entry, leave it blank. Tiger Equipment Inc. Factory Overhead Cost Variance Report-Welding Department Normal capacity for the month 5,100 hrs. Actual production for the month 5,400 hrs. For the Month Ended May 31 Variable costs: Indirect factory wages. Power and light Indirect materials Total variable cost Fixed costs: Supervisory salaries Actual Budget $ $ $ In In Unfavorable Favorable Variances Variances