Variances and conversion cost category Auto Brakes Inc. manufactures brake rotors and has always applied overhead to production using direct labor hours. Recently, company facilities were automated, and the accounting system was revised to show only two cost categories: direct material and conversion. Estimated variable and fixed conversion costs for the current month were $170,000 and $76,000, respectively. Expected output for the current month was 5,000 rotors, and the estimated number of machine hours was 10,000. During July, the firm actually used 9,000 machine hours to make 4,800 rotors while incurring $228,000 of conversion costs. Of this amount, $150,000 was variable cost. Using the four-variance approach, compute the variances for conversion costs. Note: Do not use negative signs with your answers. Fixed Conv. Spending Variance Actual Fixed Conv. - Budgeted Fixed Conv. $ Budgeted Fixed Conv. Spending Variance Fixed Conv. Volume Variance Applied Fixed Conv. Volume Variance Actual Var. Conv. $ Variable Conv. Spending Variance Budgeted Var. Conv. = Spending Variance $ Variable Conv. Efficiency Variance Applied Var. Conv. = Efficiency Variance $ $ Budgeted Var. Conv. "