The cost and operating data on December factory overhead for Department 12 of Gullwing Company are as follow:

Required:
Prepare a departmental report for the supervisor of Department 12, showing a departmental spending variance for each item of factory overhead and a single idle capacity variance.

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Budgeted Actual Factory Factory Overhead Overhead Variable departmental overhead: 2,000 2,300 900 4,300 1,400 500 Supplies.. Repairs and maintenance 800 4,000 1,200 400 Power and light Heat …… Subtotal...t S 8.400 8.400 9.400 Fixed departmental overhead: Building expense. Depreciation-machinery.. Property tax and insurance... Subtotal. 800 2,400 400 840 2.400 420 $ 3600 $ 3660 $12000 $13060 Operating data: Normal capacity hours Factory overhead rate per hour Actual hours 8,000 $ 1.50 8,800