Trico Company set the following standard unit costs for its single product.

Direct materials (26 Ibs. @ $3.20 per Ib.)	$	83.20
Direct labor (5 hrs. @ $8.50 per hr.)		42.50
Factory overheadvariable (5 hrs. @ $5.50 per hr.)		27.50
Factory overheadfixed (5 hrs. @ $7.60 per hr.)		38.00
Total standard cost	$	191.20

The predetermined overhead rate is based on a planned operating volume of 80% of the productive capacity of 50,000 units per quarter. The following flexible budget information is available.

	Operating Levels
		70%		80%		90%
Production in units		35,000		40,000		45,000
Standard direct labor hours		175,000		200,000		225,000
Budgeted overhead
Fixed factory overhead	$	1,520,000	$	1,520,000	$	1,520,000
Variable factory overhead	$	962,500	$	1,100,000	$	1,237,500

During the current quarter, the company operated at 70% of capacity and produced 35,000 units of product; actual direct labor totaled 172,400 hours. Units produced were assigned the following standard costs:

Direct materials (910,000 Ibs. @ $3.20 per Ib.)	$	2,912,000
Direct labor (175,000 hrs. @ $8.50 per hr.)		1,487,500
Factory overhead (175,000 hrs. @ $13.10 per hr.)		2,292,500
Total standard cost	$	6,692,000

Actual costs incurred during the current quarter follow:

Direct materials (867,000 Ibs. @ $3.47 per lb.)	$	3,008,490
Direct labor (172,400 hrs. @ $8.29 per hr.)		1,429,196
Fixed factory overhead costs		1,472,000
Variable factory overhead costs		922,340
Total actual costs	$	6,832,026

Required. (a) Compute the variable overhead spending and efficiency variances. (Round "cost per unit" and "rate per hour" answers to 2 decimal places.) Actual Variable OH Cost Flexible Budget Standard Cost (voH applied) AVR SVR x S 5.35 172,400 X 5.50 5.50 175,000 x 172,400 922,340 948,200 962,500 25,860 14,300 Variable overhead spending variance 25,860 Favorable 14,300 Favorable Variable overhead efficiency variance (b) Compute the fixed overhead spending and volume variances. (Round "cost per unit" and "rate per hour" answers to 2 decimal places Budgeted overhead Actual Fixed OH Cost Standard Cost (FOH applied) SVR 8.54 175,000 x 172,400 1,520,000 1,472,000 1,487,500 48,000 32,500 48,000 Fixed overhead spending variance 32.500 Fixed overhead volume variance Total fixed overhead cost variance Required. (a) Compute the variable overhead spending and efficiency variances. (Round "cost per unit" and "rate per hour" answers to 2 decimal places.) Actual Variable OH Cost Flexible Budget Standard Cost (voH applied) AVR SVR x S 5.35 172,400 X 5.50 5.50 175,000 x 172,400 922,340 948,200 962,500 25,860 14,300 Variable overhead spending variance 25,860 Favorable 14,300 Favorable Variable overhead efficiency variance (b) Compute the fixed overhead spending and volume variances. (Round "cost per unit" and "rate per hour" answers to 2 decimal places Budgeted overhead Actual Fixed OH Cost Standard Cost (FOH applied) SVR 8.54 175,000 x 172,400 1,520,000 1,472,000 1,487,500 48,000 32,500 48,000 Fixed overhead spending variance 32.500 Fixed overhead volume variance Total fixed overhead cost variance