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The predetermined overhead rate for Crane Company is $ 5 , comprised of a variable overhead rate of $ 3 and a fixed rate of

The predetermined overhead rate for Crane Company is $5, comprised of a variable overhead rate of $3 and a fixed rate of $2. The amount of budgeted overhead costs at normal capacity of $150000 was divided by normal capacity of 30000 direct labor hours, to arrive at the predetermined overhead rate of $5. Actual overhead for June was $6974 variable and $4422 fixed, and standard hours allowed for the product produced in June was 2200 hours. The total overhead variance is
$396F.
$396U.
$2222U.
$2222F.
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