Refer to the information in PA9-5.

Bullseye has the following actual results for the month of September:
Number of units produced and sold ....... 140,000
Number of square feet of corkboard used ..... 360,000
Cost of corkboard used ............ $ 756,000
Number of labor hours worked ....... 148,000
Direct labor cost ............$1,938,800
Variable overhead cost ........... $ 72,000
Fixed overhead cost ........... $ 50,000

Required:
Calculate the following for Bullseye:
1. Fixed overhead spending variance.
2. Fixed overhead volume variance.
3. Total over- or underapplied fixed manufacturingoverhead.

Transcribed Image Text:

Standard Price Standard Quantity Standard Unit Cost (Rate) Direct materials (cork board) Direct labor Variable manufacturing overhead 2.5 sq. ft. 1 hr 1 hr $ 2.00 per sq. ft. $14.00 per hr $0.50 per hr 5.00 14.00 0.50 based on direct labor hours) Fixed manufacturing overhead 0.25 $40,000160,000 units)