The predetermined overhead rate for Waterway Industries 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 $10064 variable and $6120 fixed, and 1700 units were produced. The direct labor standard is 2 hours per unit produced. The total overhead variance is $2040 F. $816 U. $816 F. $2040 u