Spencer Company manufactures a single product that has a standard materials cost of $40 (2 units of materials at $20 per unit), standard direct labor cost of $15 (2 hour per unit), and standard variable overhead cost of $7 (based on direct labor hours). Fixed overhead is budgeted at $25,000 per month. The following data pertain to operations for May 2014: Materials purchased: Materials used in production of 5,000 units of finished product: Direct labor used: Variable overhead costs incurred: Fixed overhead costs incurred: 11,000 units costing $214,500 10,500 units of materials 9,500 hours costing $143,450 $66,000 $25,800 Required: (each item worth 5 points) Compute the following variances (show calculations): 1. Materials usage variance 2. Labor rate variance 3. Labor efficiency variance 4. Variable overhead spending variance 5. Variable overhead efficiency variance 6. Fixed overhead budget variance