The following information applies to Questions 10 & 11: Occidental Company Occidental Company has developed standard overhead costs based on a capacity of 180,000 machine hours as follows: Standard costs per unit: Variable portion Fixed portion 2 hours @$3- 2 hours @$5- $ 6 10 $16 During June, 85,000 units were scheduled for production, but only 80,000 units were actually produced. The following data relate to June: Actual machine hours used were 165,000. Actual overhead incurred totaled $1,378,000 ($518,000 variable plus $860,000 fixed) All inventories are carried at standard cost. Refer to Occidental Company. The variable overhead spending variance for June was a. $15,000 U b. $23,000 U. c. $38,000 F. d. $38,000 U Refer to Occidental Company. The variable overhead efficiency variance for June was a. $15,000 U. b. $23,000 U c. $38,000 F. d. $38,000 U