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 controf 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. Ater much effort and analysis, you determined the following cost formulas and gathered the following actual cost data for March: During March, the company worked 26,000 mochine-hours and produced 15,000 units. The compony had originally planned to work. 30,000 machine-hours duritg March. Required: 1. Colculate the activity voriances for March. 2. Calculete the spending variances for March