Sedona Company set the following standard costs for one unit of its product for this year. Direct material (20 pounds @ $2.50 per pound) Direct labor (10 hours $22.00 per DLH) $ 50.00 220.00 Variable overhead (10 hours $4.00 per DLH) 40.00 Fixed overhead (10 hours $1.60 per DLH) 16.00 $ 326.00 Standard cost per unit The $5.60 ($4.00 +$1.60) total overhead rate per direct labor hour (DLH) is based on a predicted activity level of 37,500 units, which is 75% of the factory's capacity of 50,000 units per month. The following monthly flexible budget information is available. Operating Levels (% of capacity) Flexible Budget Budgeted production (units) Budgeted direct labor (standard hours) Budgeted overhead Variable overhead Fixed overhead Total overhead 70% 75% 88% 35,000 350,000 37,500 375,000 48,000 488,000 $1,400,000 600,000 $2,000,000 $ 1,500,000 600,000 $2,100,000 $1,600,000 600,000 $2,200,000 During the current month, the company operated at 70% of capacity, direct labor of 340,000 hours were used, and the following actual overhead costs were incurred. Actual variable overhead Actual fixed overhead Actual total overhead $ 1,375,000 628,600 $ 2,883,600 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. 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. Note: Indicate the effect of each variance by selecting favorable, unfavorable, or no variance. Round "Rate per unit" to 2 decimal places. Actual Variable OH Cost Flexible Budget Standard Cost (VOH applied) 0 $