Sedona Company set the following standard costs for one unit of its product for this year. Direct material (20 lbs. @ $2.10 per Ib.) Direct labor (10 hrs. @ $8.80 per hr.) $ Variable overhead (10 hrs. @ $4.00 per hr.) Fixed overhead (10 hrs. @ $1.80 per hr.) Total standard cost $ 42.89 88.ee 40.80 18.00 $188.ee The $5.80 ($4.00 - $1.80) total overhead rate per direct labor hour is based on an expected operating level equal to 70% of the factory's capacity of 70.000 units per month. The following monthly flexible budget information is also available. Operating Levels (% of capacity) 65% 70% 75% 45,580 49,00 52,5ee 455,000 499,99 525, eee Flexible Budget Budgeted output (units) Budgeted labor (standard hours) Budgeted overhead (dollars) Variable overhead Fixed overhead Total overhead $1,820,000 882,000 $2,702,000 $1,960,888 882,00 $2,842,899 $2,1ee, eee 882, eee $2,982, eee During the current month, the company operated at 65% of capacity. employees worked 435.000 hours, and the following actual overhead costs were incurred. Variable overhead costs Fixed overhead costs Total overhead costs $1,765, eee 943,80 $2,708,220 AH = Actual Hours SH = Standard Hours AVR = Actual Variable Rate SVR = Standard Variable Rate 1. Compute the variable overhead spending and efficiency variances. 2. Compute the fixed overhead spending and volume variances and classify each as favorable or unfavorable. 3. Compute the controllable variance. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Compute the variable overhead spending and efficiency variances. (Indicate the effect of each variance by selecting for favorable, unfavorable, and no variance. Round "Rate per unit" to 2 decimal places.) Actual Variable OH Cost Flexible Budget Standard Cost (VOH applied) ) 0 s $ 0 0 The $5.80 ($4.00 + $1.80) total overhead rate per direct labor hour is based on an expected operating level equal to 70% of the factory's capacity of 70,000 units per month. The following monthly flexible budget information is also available. Operating Levels (% of capacity) Flexible Budget 65% 70% 75% Budgeted output (units) 45,500 49,eee 52,5ee Budgeted labor (standard hours) 455,000 490,000 525,000 Budgeted overhead (dollars) Variable overhead $1,820, eae $1,960, eee $2,180,eee Fixed overhead 882,000 882,00 882,800 Total overhead $2,702,080 $2,842,898 $2,982,800 During the current month, the company operated at 65% of capacity, employees worked 435,000 hours, and the following actual overhead costs were incurred. Variable overhead costs Fixed overhead costs Total overhead costs $1,765,680 943, eee $2,708, eee AH = Actual Hours SH = Standard Hours AVR = Actual Variable Rate SVR = Standard Variable Rate 1. Compute the variable overhead spending and efficiency variances. 2. Compute the fixed overhead spending and volume variances and classify each as favorable or unfavorable. 3. Compute the controllable variance. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Compute the controllable variance. (Indicate the effect of each variance by selecting for favorable, unfavorable, and no variance.) Controllable Variance Controllable variance Direct material (20 Ibs. @ $2.10 per Ib.) Direct labor (10 hrs. @ $8.80 per hr.) Variable overhead (10 hrs. @ $4.00 per hr.) Fixed overhead (10 hrs. @ $1.88 per hr.) Total standard cost $ 42.00 88.00 40.ee 18.00 $188.ee The $5.80 ($4.00 + $1.80) total overhead rate per direct labor hour is based on an expected operating level equal to 70% of the factory's capacity of 70.000 units per month. The following monthly flexible budget information is also available. Operating Levels (% of capacity) 65% 70% 759 45, see 49,000 52,500 455, 490,290 525, eee Flexible Budget Budgeted output (units) Budgeted labor (standard hours) Budgeted overhead (dollars) Variable overhead Fixed overhead Total overhead $1,820, eae 882,990 $2,702,000 $1,960, eee 882,000 $2,842,eee $2,180,000 882, eee $2,982, eee During the current month, the company operated at 65% of capacity employees worked 435,000 hours, and the following actual overhead costs were incurred. Variable overhead costs Fixed overhead costs Total overhead costs $1,765,000 943, eee $2,788, eee AH = Actual Hours SH = Standard Hours AVR = Actual Variable Rate SVR = Standard Variable Rate 1. Compute the variable overhead spending and efficiency variances. 2. Compute the fixed overhead spending and volume variances and classify each as favorable or unfavorable. 3. Compute the controllable variance. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Compute the fixed overhead spending and volume variances and classify each as favorable or unfavorable. (Indicate the effect of each variance by selecting for favorable, unfavorable, and no variance. Round "Rate per unit" to 2 decimal places.) Actual Fixed OH cost Fixed OH (Fixed Budgeted) Standard Cost (FOH applied) S 0