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Manuel Company predicts it will operate at $80\%$ of its productive capacity. Its overhead allocation base is

DLH and its standard amount per allocation base is $0\mathrm{.}5DLH$ per unit. The company reports the following for

this period.

$(1)$ Compute the overhead volume variance. Indicate variance as favorable or unfavorable.

$(2)$ Compute the overhead controllable variance. Indicate variance as favorable or unfavorable.

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Required $1$

Compute the overhead volume variance. Indicate variance as favorable or unfavorable. $($Indicate the effect of the variance by

selecting favorable, unfavorable, or no variance.$)$