The following data are the actual results for Marvelous Marshmallow Company for October.

Actual output ............. 9,000 cases

Actual variable overhead .......... $405,000

Actual fixed overhead ........... $122,000

Actual machine time ........... 40,500 machine hours

Standard cost and budget information for Marvelous Marshmallow Company follows:

Standard variable-overhead rate .......... $9.00 per machine hour

Standard quantity of machine hours .......... 4 hours per case of marshmallows

Budgeted fixed overhead .............. $120,000 per month

Budgeted output ................ 10,000 cases per month

Required:

Use any of the methods explained in the chapter to compute the following variances. Indicate whether each variance is favorable or unfavorable, where appropriate.

a Variable-overhead spending variance.

b. Variable-overhead efficiency variance.

c. Fixed-overhead budget variance,

d. Fixed-overhead volume variance