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Logistics Solutions provides order fulfilment services for dot.com merchants. The company maintains warehouses that stock items carried by its dot.com clients. When a client receives
Logistics Solutions provides order fulfilment services for dot.com merchants. The company maintains warehouses that stock items carried by its dot.com clients. When a client receives an order from a customer, the order is forwarded to Logistics Solutions, which pulls the item from storage. packs it, and ships it to the customer. The company uses a predetermined variabie overhead rate based on direct labor-hours In the most recemt month, 115.000 items were shipped to customers using 3.800 direct labor-hours. The company incurred a total of $10.450 in variable overhead costs. According to the company's standards, 0.04 direct labor-hours are required to fulfill an order for one item and the variable overhead rate is $280 per direct iabor-hour. Requlred: 1. What is the standard labor-hours allowed (SH) to ship 115.000 items to customers? 2. What is the standard variable overhead cost allowed (SH SR) to ship 115,000 items to customers? 3. What is the variable overhead spending variance? 4. What is the variable overhead rate variance and the variable overhead etficiency variance? Note: For requirements 3 and 4 , Indleate the effect of each varlance by selecting "F" for favorable, "U" for unfavorable, and "None" for ne effect (l.e., zero varlence). Input all amounts os positive values. Do not round intermedlate calculations
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