Presented here are the original overhead budget and the actual costs incurred during April for Piccolo Inc. Piccolos managers relate overhead to direct labor hours for planning, control, and product costing purposes. The original budget is based on budgeted production of 10,800 units in 5,400 standard direct labor hours. Actual production of 11,600 units required 6,000 actual direct labor hours.

	Original Budget				Actual Costs
Variable overhead		$	19,440			$	22,040
Fixed overhead			36,720				38,320

Required:

1. Calculate the flexed budget allowances for variable and fixed overhead for April.
2. Calculate the direct labor efficiency variance for April expressed in terms of direct labor hours.
3. Calculate the predetermined overhead application rate for both variable and fixed overhead for April.
4. Calculate the fixed and variable overhead applied to production during April if overhead is applied on the basis of standard hours allowed for actual production achieved.
5. Calculate the fixed overhead budget and volume variances for April.
6. Calculate the over- or underapplied fixed overhead for April.