The Serenata Manufacturing Company operates using a standard cost system. The flexible factory overhead budget is presented below:

	90%	95%	100%
Variable expenses	25,200	26,600	28,000
Fixed expenses	20,000	20,000	20,000
Total	45,200	46,600	48,000

100% column is regarded as normal capacity production of 24,000 hours of work with a normal standard factory overhead rate of 2.00 per hour.

During the period covered the factory worked 22,560 actual hours doing work for which 22,800 hours were allowed. Actual factory overhead during the period totaled 47,500.

Required:

An analysis of the factory overhead variances using the two-variance method.