Please see attached document for the question. The controllable variance is $770 U.

Flt 13-\". Factory overhead cost variance report our. 4 Tiger Equipment inc., a manufacturer of construction equipment, prepared the follow- ing factory overhead cost budget for the Welding Department for May of the current year. The company expected to operate the department at 100% of normal capacity of 3,400 hours. 1tiariahle costs: Indirect factory wages 5303410 P'DWET and light 20.]60 Indirect materials 16,300 Total variable cost 5 51,200 Fixed costs: Supervisory salaries $20,000 Depreciation of plant and equipment 35,200 In surance and property taxes 15,200 Total xed cost H.400 Total factory overhead cost $133,600 During May, the department operated at 3,360 standard hours. The factory overhead costs incurred were indirect Factory wages, $52,400; power and light, $21,000; indirect materials, $10,250; supervisory saiaries, $20,000; depreciation of plant and equipment, $56,200; and insurance and property taxes, $15,200. Instr-u ctions Prepare a factory overhead cost variance report for May. To he useful for cost control, the budgeted amounts should be based on 5,860 hours