1. The overhead efficiency variance is

The following data are the actual results for Wow Company for the month of May: Actual output 4,500 units Actual variable overhead P360,000 Actual fixed overhead P108,000 Actual machine time 14,000 MH Standard cost and budget information for Wow Company follows: Scanned with CamScanner Standard variable overhead rate P6.00 per MH Standard quantity of machine hours 3 hours per unit Budgeted fixed overhead P777,600 per year Budgeted output 4,800 units per monthBaywalk, Inc. produces a unique item. Baywalk's management team wishes to perform a variance analysis on its fixed overhead. Fixed overhead is applied to units produced using direct labor hours as its cost driver. The company's managerial accountant has compiled the following information: Projected data: Estimated direct labor hours 50,000 hours Estimated fixed overhead P75,000 Scanned with CamScanner Actual data: Actual production 104,000 units Actual direct labor hours used 52,000 hours Actual fixed overhead P80,000