Fargo Corporation reported a $800 favorable price variance for variable overhead and a $8,000 favorable price variance for fixed overhead. The flexible budget had $513,600 variable overhead based on 21,400 direct labor-hours; only 21,200 hours were worked. Total actual overhead was $869,600. The number of estimated hours for computing the fixed overhead application rate totaled 22,000 hours.

Required:

(a)

Compute the following variable overhead variances.(Indicate the effect of variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (i.e., zero variance).)

Prive Variance $ Favorable or Unfavorable

Efficiency Variance $ Favorable or Unfavorable

Variable overhead cost variance $ Favorable or unfavorable

(b)	Compute the following fixed overhead variances. (Indicate the effect of variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (i.e., zero variance). Do not round your intermediate calculations.)

Price Variance $ Favorable or unfavorable

Production volume variance $ Favorable or unfavorable

Fixed overhead cost variance $ Favorable or unfavorable