HL Company employs standard absorption system for product costing. The standard cost of this product is as follows: Raw Materials - P14.50; Direct labor for 2 hours @ P8/hr is P16; Manufacturing overhead for 2hours @ P11/hr 

is P22. The total cost/unit (14.50+16+22) = P52.50. The manufacturing overhead rate is based upon normal annual activity level of 600,000 direct labor hours. The company planned to produce 25,000 units each month during 

2020. Budgeted factory overhead for 2020 is composed of P3,600,000 variable and P3,000,000 fixed. During April 2021, 26,000 units of product were produced using 53,500 direct labor hours at a cost of P433,350. Actual 

manufacturing overhead for the month was P260,000 fixed and P315,000 variable. The total manufacturing overhead applied during April was P572,000. 

 

A. The variable overhead spending variance must be?

B. Using HL Company data, the variable overhead efficiency variance must be?

C. Based on HL Company data, the fixed overhead spending (budget) variance must be?

D. Using HL Company data, fixed overhead volume variance must be?

E. Based on HL Company data, the total variance related to efficiency of production operations must be?