Sports Chemical, Inc., uses a standard cost system for its production process. The company applies overhead based on direct labor hours. The following information is available for July:

Standard:

Direct labor hourse per unit

2.20

Variable overhead per hour

2.5 pesos

Fixed overhead per hour, based on 11, 990 dlhs.

3 pesos

Actual:

Units produced 4, 400

Direct labor hours 8, 800

Variable overhead 29, 950

Fixed overhead 42, 300

Using four variance approach find the following:

Variable OH spending variance

Variable OH efficiency variance

Fixed OH spending variance

Volume Variance

Using three-variance approach find the following:

Spending Variance

Efficiency Variance

Volume Variance

Using two varaiance approach find the following:

Controllable Variance

Non controllable Variance