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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

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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 formules and gathered the following actual cost data for March Actual Cost in Cost Formula March Utluties $16,500 + $0.20 per machine-hour $ 22,700 Maintenance $38,880 + $1.80 per machine-hour $72,200 Supplies 50.50 per nachine-hour $ 10,800 Indirect labor 594,900 - $1.90 per machine-hour $137,600 Depreciation $68,200 $ 69,900 During March, the company worked 20,000 machine hours and produced 14,000 units. The company had originally planned to work 22,000 machine-hours during March Required: 1. Calculate the activity variances for March 2. Calculate the spending variances for March Complete this question by entering your answers in the tabs below. Required 1 Required 2 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 (ie, zero variance). Input all amounts as positive values.) FAB Corporation Activity Variances For the Month Ended March 31 Calculate the activity variances for March 2. Calculate the spending variances for March Complete this question by entering your answers in the tabs below fo Required 1 Recured Calculate the activity anances for March (indicate the effect of ware by selector Uhr vorable, and one for nochet 2 variance Input amount pote) YAIS Anti For mode Marino ind Der To > MA Graw AI Ps to MacBook Pro

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