what is the variable overhead rate variance, favorable or unfavorable?

what is the variable overhead efficiency variance, favorable or unfavorable?

what is the fixed overhead volume variance, favorable or unfavorable?

"Wonderfull Not only did our salespeople do a good job in meeting the sales budget this year, but our production people did a good Job in controlling costs as well." said Kim Clark, president of Martell Company. "Our $27,650 overall manufacturing cost variance is only 2.0% of the $1,382,500 standard cost of products made during the year. That's well within the 3% parameter set by management for acceptable variances. It looks like everyone will be in line for a bonus this year." The company produces and sells a single product. The standard cost card for the product follows: (1) (2) Standard Standard Standard Quantity Price Cost Inputs or Hours or Rate (1) X (2) Direct materials 3.00 feet $ 2.00 per foot $ 6.00 Direct labor 1.1 hours $ 13 per hour 14.30 Variable overhead 1.1 hours $ 2.60 per hour 2.86 Fixed overhead 1.1 hours $ 6.50 per hour 7.15 Total standard cost per unit $ 30.31 The following additional information is available for the year just completed: a. The company manufactured 25,000 units of product during the year. b. A total of 72,000 feet of material was purchased during the year at a cost of $210 per foot. All of this material was used to manufacture the 25,000 units produced. There were no beginning or ending inventories for the year. c. The company worked 30,000 direct labor-hours during the year at a direct labor cost of $12.70 per hour d. Overhead is applied to products on the basis of standard direct labor-hours. Data relating to manufacturing overhead costs follow. Denominator activity level (direct labor-houra) Budgeted fixed overhead costs Actual variable overhead coats incurred Actual fixed overhead costs incurred 25,000 $ 162,500 $ 81,000 $ 160,200