Fixed Overhead Variances Rostand Inc, operates a delivery service for over 70 restaurants. The corporation has a fleet of vehicles and has invested in a sophisticated, computerized communications system to coordinate its deliveries, Rostand has gathered the following actual data on last years delivery operations Deliveries made Direct labor Actual variable overhead 38,600 31,000 drect labor hours@ $14.00 $157,700 Rostand employs a standard costing systm During the year a variable ovehead rate of $5.10 per our was used. Tthe labhor standard requires 0.80 hour per delivery Assume that the actual fixed overhead was s403,400 Budgeted fixed overhead was $400,000, based on practical capacity of 32,000 direct labor hours Required: 1. Calculate the standard fixed overhead rate hased on budgeted fixed overhead and practical capacity 12.5 2. Compute the fixed overhead spending and volume variances. Enter amounts as positive numbers and select Favorable or tnfavorable, Spending variance 3,400 | Unfavorable Volume variance 12,500 X Unfavorable