Gallant Company uses standard cos

ting. Overhead is applied to products on the basis of

standard direct labor hours for

actual production. Data for Gal

lant follows:

Standard direct labor hours al

lowed for actual output

110,000

Actual direct labor hours

115,000

Direct labor hours budgeted in the master budget

120,000

Budgeted total fixed overhead cost

$210,000

Actual fixed overhead cost

$208,000

Required:

1.Calculate the fixed overhead spending variance and whether it is favorable or

unfavorable.

2.Calculate the fixed overhead volume variance and whether it is favorable or

unfavorable.

Calculate the total fixed overhead variance and whet

her it is favorable or

unfavorable.