The Brown Bread Company bakes baguettes for distribution to upscale grocery stores. The company has two direct-cost categories: direct materials and direct manufacturing labor. Variable manufacturing overhead is allocated to products on the basis of standard direct manufacturing labor-hours. (Click the icon to view the budget data for 2017.) (Click the icon to view the additional data for 2017.) The Brown Bread Company also allocates fixed manufacturing overhead to products on the basis of standard direct manufacturing labor-hours. For 2017, fixed manufacturing overhead was budgeted at $3.00 per direct manufacturing labor-hour. Actual fixed manufacturing overhead incurred during the year was $298,000. Read the requirements. Requirement 1. Prepare a variance analysis of fixed manufacturing overhead cost. Begin by completing the table below for the fixed manufacturing overhead that will be used to calculate the variances. Same Budgeted Lump Sum Regardless of Output Level Actual Costs Flexible Allocated Incurred Budget Overhead Fixed MOH - re Data table Data table e od 0.02 hours per baguette Direct manufacturing labor use Variable manufacturing overhead $10.00 per direct manufacturing labor-hour Planned (budgeted) output 3,800,000 baguettes Actual production 3,000,000 baguettes Direct manufacturing labor 54,400 hours Actual variable manufacturing overhead $739,840 Print Done a Print Done L ctual Costs Re Requirements Incurred O 1. Prepare a variance analysis of fixed manufacturing overhead cost. 2. Is fixed overhead underallocated or overallocated? By what amount? 3. Comment on your results. Discuss the variances and explain what may be driving them. Print Dono