Norwall Companys budgeted variable manufacturing overhead cost is $1.30 per machine-hour and its budgeted fixed manufacturing overhead is $30,368 per month.

The following information is available for a recent month:

1. The denominator activity of 8,320 machine-hours is used to compute the predetermined overhead rate.
2. At a denominator activity of 8,320 machine-hours, the company should produce 3,200 units of product.
3. The companys actual operating results were:

Number of units produced		3,690
Actual machine-hours		9,700
Actual variable manufacturing overhead cost	$	11,155
Actual fixed manufacturing overhead cost	$	35,000

Required:

1. Compute the predetermined overhead rate and break it down into variable and fixed cost elements. (Round your answers to 2 decimal places.)

2. Compute the standard hours allowed for the actual production.

3. Compute the variable overhead rate and efficiency variances and the fixed overhead budget and volume variances. (Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (i.e., zero variance). Input all amounts as positive values. Round your intermediate calculations and final answers to 2 decimal places.)

per MH per MH per MH MHS 1. Predetermined overhead rate Variable element Fixed element 2. Standard hours allowed for the actual production 3. Variable overhead rate variance Variable overhead efficiency variance Fixed overhead budget variance Fixed overhead volume variance