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Exercise 23-19 (Static) Overhead controllable and volume variances; overhead variance report LO P4 Blaze Corporation allocates overhead on the basis of DLH and the standard amount per allocation base is 4 DLH per unit. For March, the company planned production of 8,000 units (80% of its production capacity of 10,000 units) and prepared the following budget. The company actually operated at 90% capacity (9,000 units) in March and incurred actual total overhead costs of $81,700. 808 Operating Overhead Budget Levels Production in units 8,000 Budgeted variable overhead $ 32,000 Dudgeted fixed overhead $ 48,000 1. Compute the standard overhead rate. Hint Standard allocation base at 80% capacity is 32,000 DLH, computed as 8,000 units * 4 DLH per unit. 2. Compute the total overhead variance. 3. Compute the overhead controllable variance. 4. Compute the overhead volume variance. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Required 4 Compute the total overhead variance. (Indicate the effect of the variance by selecting favorable, unfavorable, or no variance. Do not round Intermediate calculations.) Overhead variance Standard overhead applied Actual total overhead Overhead variance Favorable Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Required 4 Compute the overhead controllable variance. (Indicate the effect of the variance by selecting favorable, unfavorable, or no variance. Do not round Intermediate calculations.) Controllable Variance Actual total overhead Budgeted flexible overhead 0 Total Controllable variance Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Required 4 Compute the overhead volume variance (Indicate the effect of the variance by selecting favorable, unfavorable, or no variance. Do not round Intermediate calculations.) Volume Variance Volume variance