You have just been hired by FAB Corporation, the manufacturer of a revolutionary new garage door opening device. The

president has asked that you review the company's costing system and $"$do what you can to help us get better control of

our manufacturing overhead costs." You find that the company has never used a flexible budget, and you suggest that

preparing such a budget would be an excellent first step in overhead planning and control.

After much effort and analysis, you determined the following cost formulas and gathered the following actual cost data for

March:

During March, the company worked $17,000$ machine$-$hours and produced $11,000$ units. The company had originally planned

to work $19,000$ machine$-$hours during March.

Required:

Calculate the activity variances for March.

Calculate the spending variances for March.

Complete this question by entering your answers in the tabs below.

Calculate the activity variances for March. $($Indicate the effect of each variance by selecting $"$F$"$ for favorable, $"$U$"$ for

unfavorable, and "None" for no effect $($i$.$e$.,$ zero variance$).$ Input all amounts as positive values.$)$