The following information relates to Watson, Inc.'s overhead costs for the month (Click the loon to view the information) Requirements 1. Compute the overhead variances for the month:variable overhead cost variance, variable overhead officiency variance, fixed overhead con variance, and find overhead volume variance 2 Explain why the varianons are favorable or unfavorable CH Requirement 1. Compute the overtad variances for the months: variable overhead cost variance, variable overhead efficiency variance, feed overhead cont variance, and send overhead volume variance Begin by selecting the formulas needed to compute the variable overhead (VOH) and fixed overhead (FOH) variances, and then compute each varianon amount VOH cost variance = VOH officiency variance Data table FOH cost variance = FOH volume variance State budget variable overhead $ 7 000 Static budget fixed overhead $ 3,000 Statie budget direct labor hours 1,000 hours Static budget number of units 4,000 units Watson allocates manufacturing overhead to production based on standard direct labor hours. Last month, Watson reported the following actual results actual variable overhead, 510,000, actual food overhead, $2,820; actual production of 7.400 units at 0.20 direct labor hours per unit. The standard direct labor time is 0.25 direct labor hours per unit(1.000 static direct labor hours/4,000 static units) Print Done rar Check ans Get more help