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 Units per Case Cost per Case Cream base Variable Natural oils ' variable Bottle (84):.) Variable DIRECT LABOR Department Cost Behavior Tlme per Case Labor Rate per Hour Cost per Case Mixing Valiable 20 min. $18.00 $6.00 Filling Variable 5 14.40 1.20 25 min. $7.20 FACTORY OVERHEAD Cost Behavior Total Cost - Utilities I Mixed - $600 Facility lease I Fixed I 1 4000 Equipment depreciaijen I Fixed I 4.300 Supplies I Fixed - 060 $19,550 Actual Direct ll-Iaterials Price per Unit Quantity per Case Cream base $0.015 par oz. 102 ozs. Nahual oils $0.32 per oz. 3 1 025. Bottle (802.) $0.42 per bottle 12.5 bottles Actual Direct Actual Direct Labor Lalmr Rate Time per Case Mg $18.20 19.50mjn. Filling 14.00 5.60 min. Actual variable warhead $3 05.90 Normal volume 1,600 cases 12. Determine and interpret the factory overhead controllable variance. For those boxes in which you must enter subtractive or negative numbers use a minus sign. Enter a favorable variance as a negative number using a minus sign and an unfavorable variance as a positive number. Factory Overhead Controllable Variance $ Factory overhead controllable variance $ The factory overhead controllable variance was caused by the variance in