The SCC Division of the Big-Drug Company uses standard costing to help control their production costs. The divisions main product is a pharmaceutical product that comes in a multi-dose package. The standard variable costs per package are given below:

Direct materials (chemical ingredients 1.25 ounces @$1.00 per ounce)

Direct materials (packaging 1 package piece @$0.45 per package piece)

Direct labor (0.40 hour @ $18.00 per hour)

Variable overhead ($1.50 per direct labor hour)

Fixed overhead ($2.00 per direct labor hour)

During the most recent month, 100,000 packages of the product were produced. Other salient information related to the production of the 100,000 packages follows:

Actual variable overhead	$58,000
Actual fixed overhead	$87,000
Actual direct labor hours	40,200
Actual direct labor hourly rate	$17.90
DM chemicals purchase price	$1.01
DM chemicals purchase quantity	140,000
DM packages purchase price	$0.46
DM packages purchase quantity	104,000
DM chemicals used	135,000
DM packages used	102,000
Fixed Overhead Budget	$85,000

For questions 1-9 compute each of the following variances indicating both the dollar amount and whether the amount is favorable (F) or unfavorable (U). If a variance is zero please input zero for the dollar amount and leave the F and U columns blank.

		Dollar Amount	F	U
1.	DM chemical purchase price variance
2.	DM chemical efficiency (quantity) variance
3.	DM packaging purchase price variance
4	DM packaging efficiency (quantity) variance
5	Direct Labor rate variance
6	Direct Labor efficiency variance
7	The variable overhead spending variance
8	The variable overhead efficiency variance
9	The fixed overhead spending variance

If the fixed overhead is applied based on a rate of $2.00 per direct labor hour, then what is the budgeted fixed overhead base (also called the denominator) quantified in terms of finished packages?