Flexible Budgets Assignment i 3 12 points eBook Print References For May, Mariana company planned production of 15,200 units (80% of its production capacity of 19,000 units) and prepared the following overhead budget. The company applies overhead with a standard of 3 DLH per unit and a standard overhead rate of $3.79 per DLH. 80% Operating Level Overhead Budget Production (in units) Budgeted overhead Variable overhead costs Indirect materials Indirect labor Power Maintenance Total variable overhead costs Fixed overhead costs Rent of building Depreciation-Machinery Supervisory salaries Total fixed overhead costs Total overhead 15,200 $ 27,360 45,600 11,400 4,104 88,464 28,500 19,000 36,860 84,360 $ 172,824 It actually operated at 90% capacity (17,100 units) in May and incurred the following actual overhead. Indirect labor Power Maintenance Actual Overhead Costs Indirect materials $ 27,360 49,000 12,825 9,400 28,500 19,000 40,000 $ 186,085 Rent of building Depreciation-Machinery Supervisory salaries Actual total overhead 1. Compute the overhead controllable variance and identify it as favorable or unfavorable. 2. Compute the overhead volume variance and identify it as favorable or unfavorable. 3. Prepare an overhead variance report at the actual activity level of 17,100 units. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Compute the overhead volume variance and identify it as favorable or unfavorable. (Indicate the effect of the variance by selecting favorable, unfavorable, or no variance. Do not round intermediate calculations.) Budgeted (flexible) overhead Volume variance Volume Variance Favorable < Required 1 Required 3 > Homework: Flexible Budgets Assignment 12 3 points eBook Power Maintenance Rent of building Depreciation-Machinery Supervisory salaries Actual total overhead 12,825 9,400 28,500 19,000 40,000 $186,085 1. Compute the overhead controllable variance and identify it as favorable or unfavorable. 2. Compute the overhead volume variance and identify it as favorable or unfavorable. 3. Prepare an overhead variance report at the actual activity level of 17,100 units. Complete this question by entering your answers in the tabs below. Print Required 1 Required 2 Required 3 References Prepare an overhead variance report at the actual activity level of 17,100 units. (Indicate the effect of each variance by selecting favorable, unfavorable, or no variance. Do not round intermediate calculations.) Expected Actual Controllable Variance Variable overhead costs: Indirect materials Indirect labor Power Maintenance Total variable overhead costs Fixed overhead costs: Rent of building Depreciation-Machinery Supervisory salaries Total fixed overhead costs Total overhead costs Volume Variance MARIANA COMPANY Overhead Variance Report For Month Ended May 31 80% of capacity 90% of capacity Flexible Budget Actual Results Variances Favorable/Unfavorable Volume variance Total overhead variance < Required 2 Required 3 > Unfavorable No variance No variance Unfavorable Unfavorable