The normal capacity of a factory is 8,000 units per month. Cost and production data follow:

Standard application rate for fixed overhead . . . . . . . . . . . . . . . . . . $0.50 per unit

Standard application rate for variable overhead . . . . . . . . . . . . . . . . $1.50 per unit

Production—Month 1 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7,200 units

Production—Month 2 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8,400 units

Actual factory overhead—Month 1 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 14,700

Actual factory overhead—Month 2 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .$ 17,400

Calculate the amount of factory overhead allowed for the actual volume of production each month and the variance between budgeted and actual overhead for each month.