Fixed Overhead Variances Rostand Inc. operates a delivery service for over 7D restaurants. The corporation has a fleet of vehicles and has invested in a sophisticated, computerized communications system to coordinate its delivernies. Rostand has gathered the following actual data on last year's delivery operations: Deliveries made Direct labor Actual variable overhead $157,700 Rostand employs a standard costing system. During the year, a variable overhead rate of $5.10 per hour was used. The labor standard requires o.80 hour per delivery 38,600 31,000 direct labor hours $14.00 Assume that the actual fixed overhead was $403,400. Budgeted fixed overhead was $400,000, based on practical capacity of 32,000 direct labor hours Required 1. Calculate the standard fixed overhead rate based on budgeted fixed overhead and practical capacity. 12.5 2. Compute the fxed overhead spending and volume variances. Enter amounts as positive numbers and select Favorable or Unfavorable Spending variance s. 3 3,400 Unfavorable v Volume variance 12,500 X Unfavorable Feedback Check. My Work . 5tandard Fixed overhead Rate (5FOR) Budgeted Fixed overhead DLH 2. Spending Actual FOH Budgeted FOH 3. VolumeBudgeted FOH Applied FOH Review the 'How to Calculate Fixed Overhead Variances: Columnar and Formula Approaches" example in your text