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6 Preble Company manufactures one product. Its variable manufacturing overhead is applied to production based on direct labour-hours and its standard cost card per unit is as follows: 25 pois Direct material: 5 pounds at $10 per pound Direct labour: 2 hours at $15 per hour Variable overhead: 2 hours at $5 per hour Total Standard variable cost per unit $50 30 10 $90 03.03.10 Fixed overhead was budgeted at $625,000. Fixed overhead is applied on the basis of direct labour hours. The company also established the following cost formulas for its selling expenses Fixed Cost per Variable cost per Month Unit Sold Advertising $ 100,000 Sales sales and commissions $ 300,000 $ 13.00 Shipping expenses $ 3.00 the state planning budget for March was based on producing and selling 2.000 units. However, during March the company actually produced and sold 37600 units and incurred the following costs b. Purchased 200.000 pounds of raw materials at a cost of $9 40 per pound All of this material was used in production Direct labourers worked 75,000 hours at a rate of $16 per nos Total variable manufacturing overhead for the month wes $558 900. And fixed manufacturing overhead was 5620,000 d. Total advertising, sales salaries and commissions, and shipping expenses were $416,000 $780.000 and 5135,000, respectively 6 Preble Company manufactures one product. Its variable manufacturing overhead is applied to production based on direct labour-hours and its standard cost card per unit is as follows: 25 pos Direct material: 5 pounds at $10 per pound Direct labour: 2 hours at $15 per hour Variable overhead: 2 hours at $5 per hour Total Standard variable cost per unit $50 je 10 $90 030310 Fixed overhead was budgeted at $625,000. Fixed overhead is applied on the basis of direct labour hours. The company also established the following cost formulas for its selling expenses. Fixed Cost per Month $ 100,000 $ 300,000 Variable Cost per Un sold Advertising Sales salaries and commissions Shloping expenses $ 13.00 $ 3.00 The state planning budget for March was based on producing and selling 32.000 units. However, during March the company actually produced and sold 37600 units and incurred the following costs Purchased 200.000 pounds of raw materials at a cost of $9 40 per pound. All of this material was used in production Direct labourers worked 75.000 hours at a rate of $16 per nos Total varloble manufacturing overhead for the month wes $558 900. And fixed manufacturing overhead was $620,000 d. Tot advertising, sales salaries and commissions, and shoping expenses were $416,000 $780.000 and $135,000, respectively actually produced and sold 37600 units and incurred the following costs 6 a. Purchased 200,000 pounds of raw materials at a cost of $9.40 per pound. All of this material was used in production b. Direct-labourers worked 75,000 hours at a rate of $16 per hour. c. Total variable manufacturing overhead for the month was $558,900. And fixed manufacturing overhead was 5620,000 d. Total advertising, sales salarles and commissions, and shipping expenses were $416,000, 9780,000, and $135,000, respectively 25 Do 8 000142 Required: What is the materials quantity variance for March? (Input the amount as a positive value. Leave no cells blank - be certain to enter "O" wherever required. Indicate the effect of each variance by selecting "F" for favourable. "U" for unfavourable, and "None" for no effect (.e., zero variance.)) Material quantity varianca