Primara Corporation has a standard cost system in which it applies overhead to products based on the standard direct labor-hours allowed for the actual output of the period. Data concerning the most recent year appear below:

Total budgeted fixed overhead cost for the year	$446,400
Actual fixed overhead cost for the year	$440,000
Budgeted standard direct labor-hours (denominator level of activity)	62,000
Actual direct labor-hours	63,000
Standard direct labor-hours allowed for the actual output	60,000

Required:
1.	Compute the fixed portion of the predetermined overhead rate for the year. (Round Fixed portion of the predetermined overhead rate to 2 decimal places

Fixed overhead
Denominator level of activity
Fixed portion of the predetermined overhead rate	0

2.	Compute the fixed overhead budget variance and volume variance. (Round Fixed portion of the predetermined overhead rate to 2 decimal places. Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (i.e., zero variance.))

	Budget Variance
Actual fixed overhead cost for the year
Budgeted fixed overhead cost
Budget variance	$0
	Volume Variance
Fixed portion of the predetermined overhead rate		per DLH
Denominator hours		DLHs
Standard hours allowed		DLHs
Volume variance

please show work