1. The following information was taken from the annual manufacturing overhead cost budget of Amcar Company:

Variable manufacturing overhead costs Php124,000

Fixed manufacturing overhead costs Php62,000

Normal production level in direct labor hours 31,000

Normal production level in units 15,500

During the year, 15,000 units were produced, 32,000 hours were worked, and the actual manufacturing overhead costs were Php190,000. The actual fixed manufacturing overhead costs did not deviate from the budgeted fixed manufacturing overhead costs. Overhead is applied on the basis of direct labor hours.

Instructions

(a) Compute the total, fixed, and variable predetermined manufacturing overhead rates.

^a(b) Compute the total, controllable, and volume overhead variances.