The company manufactures cabinets of mahogany, oak, and other fine woods for use in expensive homes, restaurants, and hotels. Although some of the work is custom, many of the cabinets are a standard size.

Ana Carillo and Associates is a mediumesized company located near a large metropolitan area in the Midwest. The company manufactures cabinets of mahogany, oak, and other ne woods for use in expensive homes, restaurants, and hotels. Although some of the work is custom, many of the cabinets are a standard SIZE, One such nonecustom model is called Luxury Base Frame, Normal production is 1,000 units. Each unit has a direct labor hour standard of 5 hours. Overhead is applied to production based on standard direct labor hours, During the most recent month, only 1,010 units were produced, 4,500 direct labor hours were allowed for standard production, but only 4,000 hours were used, Standard and actual overhead costs were as follows, Standard Actual (1,000 units) (1,010 units) Indirect materials $ 13,600 $ 14,000 Indirect labor 48,900 58,000 (Fixed) Manufacturing superyisors salaries 25,600 25,000 (Fixed) Manufacturing ofce employees salaries 14,800 14,200 (Fixed) Engineering costs 30,700 28,400 Computer costs 11,400 11,400 Electricity 2,800 2,800 (Fixed) Manufacturing building depreciation 9,100 9,100 (Fixed) Machinery depreciation 3,400 3,400 (Fixed) Trucks and forklift depreciation 1,700 1,700 Small tools 800 1,600 (Fixed) Insurance 600 600 (Fixed) Property taxes 300 300 Total $163,700 $170,500 Determine the overhead application rate, (Round answer to 2 decimal'pl'aces, e.g. 15. 75.) Overhead application rate $ per direct labor hour Determine how much overhead was applied to production. Applied overhead $1 LINK TO TEXT Calculate the total overhead variance, controllable variance, and volume variance. (Round v Total overhead variance Controllable variance Volume variance LINK TO TEXT Decide which overhead variances should be investigated. Click if you would like to Show Work for this question: Open Show Work