Rosie's Roses is looking at her FIXED manufacturing variances. Her static budget was built with 750,000 units at 5 hours per unit and $4 per hour application rate. Actual units produced were 740,000 units. Actual fixed manufacturing overhead incurred was $14,750,000.

Find the following, labelling each variance as favorable or unfavorable:

1. spending variance

2. is the spending variance favorable, unfavorable or N/A?

3. efficiency variance

4. is the efficiency variance favorable, unfavorable or N/A?

5. flexible budget variance

6. is the flexible budget variance favorable, unfavorable or N/A?

7. production volume variance

8. is the production volume variance favorable, unfavorable or N/A?

9. fixed overhead over/under applied variance amount

10. over or under applied