The Platter Valley factory of Bybee Industries manufactures field boots. The cost of each boot includes direct materials, direct labor, and manufacturing (factory) overhead. The firm traces all direct costs to products, and it assigns overhead cost to products based on direct labor hours.

The company budgeted $10,045 variable factory overhead cost and 2,050 direct labor hours to manufacture 4,100 pairs of boots in March.

The factory used 3,800 direct labor hours in March to manufacture 3,900 pairs of boots and spent $16,900 on variable overhead during the month.

For March, the Platter Valley factory of Bybee Industries budgeted $88,150 for fixed factory overhead cost. Its practical capacity is 2,050 direct labor hours per month (to manufacture 4,100 pairs of boots).

The factory used 3,800 direct labor hours in March to manufacture 3,900 pairs of boots. The actual fixed overhead cost incurred for the month was $91,250.

The Platter Valley factory of Bybee Industries uses a two-variance analysis of the total factory overhead variance.

Required:

1. Compute the total flexible-budget variance for overhead and the production volume variance for March. What was the total factory overhead cost variance for March? Indicate whether each variance is favorable (F) or unfavorable (U).

2. Determine the three components of the total flexible-budget variance for overhead (i.e., the variable overhead spending variance, the variable overhead efficiency variance, and the fixed overhead spending variance); in addition, show the production volume variance for March. Indicate whether each variance is favorable (F) or unfavorable (U).