Harrison Products uses standard costing. It allocates manufacturing overhead (both variable and fixed) to products on the basis of standard direct manufacturing labor-hours (DLH). Harrison Products develops its manufacturing overhead rate from the current annual budget. The manufacturing overhead budget for 2014 is based on budgeted output of 600,000 units, requiring 3,600,000 DLH. The company is able to schedule production uniformly thorughout the year. A total of 74,000 output units requiring 321,000 DLH was produced during May 2014. Manufacturing overhead (MOH) costs incurred for May amounted to $328,000. The actual costs, compared with the annual budget and 1/12 of the annual budget, are as follows:

- X Data Table Annual Manufacturing Overhead Budget 2014 Per Per DLH Monthly Actual MOH Total Output Input MOH Budget Costs for Amount Unit Unit May 2014 May 2014 Variable MOH Indirect manufacturing labor $ 360,000 $ 0.60 $ 0.10 $ 30,000 $ 30,000 Supplies 1,080,000 1.80 0.30 90,000 114,000 Fixed MOH Supervision 540,000 0.90 0.15 45,000 42,000 Utilities 432,000 0.72 0.12 36,000 58,000 Depreciation 1,008,000 1.68 0.28 84,000 84.000 Total $ 3,420,000 $ 5.70 $ 0.95 $ 285,000 $ 328,000 Print Done - Requirement Calculate the following amounts for Harrison Products for May 2014: 1. Total manufacturing overhead costs allocated 2. Variable manufacturing overhead spending variance 3. Fixed manufacturing overhead spending variance 4. Variable manufacturing overhead efficiency variance 5. Production-volume variance Be sure to identify each variance as favorable (F) or unfavorable (U). Print Done 1. Calculate total manufacturing overhead costs allocated. Begin by computing the budgeted hours per unit. Determine the formula, then compute the amount. Budgeted hours per unit 11 Now calculate the total manufacturing overhead (MOH) costs allocated. Determine the formula, then complete the calculation Total MOH costs allocated X X For items 2 through 5, complete the following tables before calculating the remaining amounts in the requirement. Complete the table for variable MOH. Actual input For items 2 through 5, complete the following tables before calculating the remaining amounts in the requirement. Complete the table for variable MOH. Actual input Actual costs Flexible Allocated incurred budgeted rate budget overhead Variable MOH Next complete the table for fixed MOH. Same budgeted lump sum regardless of output level Actual costs Flexible Allocated incurred budget overhead Fixed MOH Now calculate the remaining listed amounts for Harrison Products for May 2014. Be sure to identify each variance as favorable (F) or unfavorable (U). 2. The variable manufacturing overhead spending variance is 3. The fixed manufacturing overhead spending variance is 4. The variable manufacturing overhead efficiency variance is 5. The production-volume variance is