Weller Company's variable manufacturing overhead should be $1.90 per standard machine-hour and its fixed manufacturing overhead should be $87,000 per month. The following information is available for a recent month:

a. The denominator activity of 34,800 machine-hours was chosen to compute the predetermined overhead rate.

b. At the 34,800 standard machine-hours level of activity, the company should produce 12,000 units of product.

c. The companys actual operating results were as follows:

Number of units produced 12,930 Actual machine-hours 36,030

Actual variable manufacturing overhead cost $ 72,060

Actual fixed manufacturing overhead cost $ 85,300

Required:

1. Compute the predetermined overhead rate and break it down into variable and fixed cost elements. (Round your answers to 2 decimal places.)

Predetermined overhead rate $ per MH

Variable element $ per MH

Fixed element $ per MH

2. What were the standard hours allowed for the years actual output? (Round your intermediate calculations to 2 decimal places.)

Standard hours MHs

3. Compute the variable overhead efficiency and rate variances and the fixed overhead budget and volume variances. (Leave no cells blank - be certain to enter "0" wherever required. Input all amounts as positive values. Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (i.e., zero variance). Round your intermediate calculations and final answers to 2 decimal places.)

Variable overhead efficiency variance $

Variable overhead rate variance $

Fixed overhead budget variance $

Volume variance $