Required information

The Dillon Company makes and sells a single product and uses a flexible budget for overhead to plan and control overhead costs. Overhead costs are applied on the basis of direct labour hours. The standard cost card shows that 5 direct labour hours are required per unit. The Dillon Company had the following budgeted and actual data for March:

	Actual	Budgeted
Units Produced	33,900	30,800
Direct Labour Hours	161,800	154,000
Variable Overhead Costs	$140,500	$123,200
Fixed Overhead Costs	$80,000	$77,000

What was the variable overhead spending variance for March?

Multiple Choice

• $4,900 unfavourable.

• $11,060 unfavourable.

• $14,700 unfavourable.

• $17,300 unfavourable.

What was the variable overhead efficiency variance for March?

Multiple Choice

• $6,160 favourable.

• $6,160 unfavourable.

• $6,240 favourable.

• $6,240 unfavourable.

What was the fixed overhead budget variance for March?

Multiple Choice

• $900 favourable.

• $3,000 unfavourable.

• $3,900 favourable.

• $7,750 favourable.