Overhead information for Cran-Mar Company for October follows:

Required:

1. What is the standard fixed factory overhead rate per machine hour (MH)? (Round your answer to 2 decimal places.)

2. What is the denominator activity level that was used to establish the fixed factory overhead application rate? (Round your answer to the nearest whole number.)

3. Two-way analysis (breakdown) of the total factory overhead cost variance: calculate the following factory overhead cost variances for October and indicate whether each variance is favorable (F) or unfavorable (U).

4. Calculate the production volume variance and indicate whether the variance is favorable (F) or unfavorable (U).

TotalfactoryoverheadcostincurredBudgetedfixedfactoryoverheadcostTotalstandardoverheadratepermachinehour(MH)StandardvariablefactoryoverheadrateperMHStandardMHsallowedfortheunitsmanufactured$16,200$6,127$4.93$3.303,900 Standard fixed factory overhead rate per MH Denominator activity level \begin{tabular}{l|l} & MH \\ \hline \end{tabular} a. Total flexible-budget variance b. Production volume variance c. Total overhead cost variance Production volume variance