Simpson Manufacturing has the following standard cost sheet for one of its products:

		Total
Direct materials	5 pounds at $2 per pound	$ 10
Direct labor	2 hours at $25 per hour	50
Variable factory overhead	2 hours at $5 per hour	10
Fixed factory overhead	2 hours at $20 per hour	40
Cost per unit		$ 110

The company uses a standard cost system and applies factory overhead cost based on direct labor hours and determines the factory overhead rate based on a practical capacity of 400 units of the product.

Simpson has the following actual operating results for the year just completed:

Units manufactured	376
Direct materials purchased and used	1,880	pounds	$ 20,680
Direct labor incurred	830	hours	22,410
Variable factory overhead incurred			5,312
Fixed factory overhead incurred			15,800

Before closing the periodic accounts, the (standard cost) entries in selected accounts follow:

Account	Debit (total)	Credit (total)
Work-in-process inventory	$ 177,000	$ 142,640
Finished goods inventory	142,640	119,690
Cost of goods sold	119,690

Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Required 4 Required 5 Compute the total overhead flexible-budget variance and the fixed overhead production volume variance using a two-variance analysis. Total overhead flexible-budget variance Fixed overhead production volume variance Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Required 4 Required 5 Using a single overhead account (e.g., Factory Overhead), make proper journal entries for: (If no entry is required for a transaction/event, select "No journal entry required" in the first account field. Do not round intermediate calculations. Round your answers to the nearest whole dollar amount.) a. Incurrence of factory overhead costs. b. Application of factory overhead costs to production. C. Identification of overhead variances assuming that the firm uses the four-variance analysis identified in requirement 2. d. Close all factory overhead cost items and their variances of the period if: (1) The firm closes all variances to the Cost of Goods Sold account. (2) The firm prorates variances to the inventory accounts and the cost of Goods Sold account. Show less View transaction list View journal entry worksheet No General Journal Debit Credit Transaction a 1 21,112 Factory overhead Utilities payable 21,112