Genuine Spice Inc. began operations on January 1 of the current year. The company produces 8-ounce bottles of hand and body lotion called Eternal Beauty. The lotion is sold wholesale in 12-bottle cases for $100 per case. There is a selling commission of $20 per case. The January direct materials, direct labor, and factory overhead costs are as follows: DIRECT MATERIALS Cost Behavior Variable Units per Case 100 ozs. 30 ozs. Cost per Unit $0.02 Direct Materials Cost per Case $2.00 9.00 Cream base Natural oils Variable 0.30 Bottle (8-oz.) Variable 12 bottles 0.50 6.00 $17.00 Department Cost Behavior Variable Variable DIRECT LABOR Time per Case 20 min. Labor Rate per Hour $18.00 14.40 Direct Labor Cost per Case $6.00 1.20 Mixing Filling un 25 min. $7.20 Total Cost $600 FACTORY OVERHEAD Cost Behavior Utilities Mixed Facility lease Fixed Equipment depreciation Fixed Supplies Fixed 14,000 4,300 660 $19,560 Part C-August Variance Analysis During September of the current year, the controller was asked to perform variance analyses for August. The January operating data provided the standard prices, rates, times, and quantities per case. There were 1,500 actual cases produced during August, which was 250 more cases than planned at the beginning of the month. Actual data for August were as follows: Actual Direct Materials Actual Direct Materials Price per Unit Quantity per Case Cream base $0.016 per oz. 102 ozs. Natural oils $0.32 per oz. 31 ozs. Bottle (8-oz.) $0.42 per bottle 12.5 bottles Actual Direct Labor Rate $18.20 Actual Direct Labor Time per Case 19.50 min. 5.60 min. Mixing Filling 14.00 $305.00 Actual variable overhead Normal volume 1,600 cases The prices of the materials were different than standard due to fluctuations in market prices. The standard quantity of materials used per case was an ideal standard. The Mixing Department used a higher grade labor classification during the month, thus causing the actual labor rate to exceed standard. The Filling Department used a lower grade labor classification during the month, thus causing the actual labor rate to be less than standard. Required: Enter subtracted amounts with minus sign. Enter a favorable variance as a negative number using a minus sign and an unfavorable variance as a positive number. 13. Determine the factory overhead volume variance. Round rate to four decimal places and round your final answer to two decimal places. Normal volume (cases) 1,600 Actual volume (cases) -1,500 Difference 100 Fixed factory overhead rate Factory overhead volume variance Indicate if favorable or unfavorable Unfavorable 14. The production volume of cases was planned at the beginning of August. The variances compare the actual cost and the standard cost of actual production for the month. Thus, the standard cost must be based on the units of actual production