$1.$ Calculate the variable overhead spending and efficiency variances and indicate whether each is favorable $($F$)$ or unfavorable $($U$).$

$2.$ Calculate the fixed overhead spending and production$-$volume variances and indicate whether each is favorable $($F$)$ or unfavorable $($U$).$

$3.$ Comment on Company$$s Equity's overhead variances. In your view, is the firm right to be worried about its control over technology spending?

Requirement $1.$ Calculate the variable overhead spending and efficiency variances, and indicate whether each is favorable $($F$)$ or unfavorable $($U$).$

Begin by computing the following amounts for the variable overhead.

Budget information

Actual results