The U.R. Good Company produces a product using standard costs as follows:

a. Standard cost per unit
Materials	7 kilos at 3.50 per kilo
Labor	8 hours at 1.75 per kilo
Fixed MOH	1.15 per hour or 9.20 per unit
Variable MOH	0.85 per hour or 6.80 per unit
b. Overhead is applied on direct labor hours
c. Actual performance (1 month)
Volume produced	800
Labor hours	6,300
Overhead	13,200
Material Cost	3.45 per kilo
Labor Cost	1.80 per hour
Material Used	4,800 kilos

The Total Material Spending Variance is ___________________ .

Group of answer choices

2,800 Unfavorable

3,040 Favorable

2,800 Favorable

3,000 Unfavorable

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The following data relates to the total manufacturing overhead of ABBOTT E. for a recent four-month period. The high-low method is used to estimate the variable and cost element of the mixed cost.

DIRECT LABOR HOURS MANUFACTURING OVERHEAD

May 90,000 213,000

June 100,000 227,000

July 70,000 185,000

August 80,000 199,000

ABBOTT E. projected September operations will require approximately 120,000 direct labor hours. Using the high-low method, compute total manufacturing overhead estimated for September

Group of answer choices

168,000

272,400

317,143

255,000