Question 3 (9 marks) Teri's Furniture uses variance analysis to evaluate manufacturing overhead in its table factory. Information for its May overhead is as follows: Budgeted output units......... .14,000 tables $22,400 Budgeted fixed manufacturing overhead. Budgeted variable manufacturing overhead. ..$3.00 per direct labour hour Budgeted direct labour hours.. ..0.2 hours per table Fixed manufacturing costs incurred .$24,000 Direct labour hours used .4,000 hours Variable manufacturing costs incurred Actual units manufactured .$11,000 .15,000 tables Required: See next page. Please calculate the following items: 1) Variable manufacturing overhead spending variance. 2) Variable manufacturing overhead efficiency variance. 3) Fixed manufacturing overhead spending variance. 4) Fixed manufacturing overhead production-volume variance. 5) Total Under- or Over-Allocated Overhead (specify which). Answers: 2