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 on 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 Actual Cost in Cost Formula Utilities $16,800 + $0.14 per machine-hour $ 21,120 Maintenance $38,900 $1.60 per nachine-hour 5 61,500 Supplies $0.70 per machine-hour $ 12,400 Indirect labor $94,500 $1.50 per machine-hour $122,400 Depreciation $68,400 $70,100 March 18,000 machine-hours during March During March the company worked 16,000 machine-hours and produced 10,000 units. The company had originally planned to work Required: 1. Calculate the activity variances for March 2. Calculate the spending variances for March