1. What variable manufacturing overhead cost would be included in the company's flexible budget for March?

2. What is the variable overhead efficiency variance for March? "F", "U", or "N"

3. What is the variable overhead rate variance for March? "F", "U", or "N"

4. What amounts of advertising, sales salaries and commissions, and shipping expenses would be included in the company's flexible budget for March?

Preble Company manufactures one product. Its variable manufacturing overhead is applied to production based on direct labor-hours and its standard cost card per unit is as follows: Direct material: 5 pounds at $9.00 per pouned Direct labor: 3 hours at $14 per42 oo s 45.00 42.00 24.00 hour Variable overhead: 3 hours at $8 per hour Total standard variable cost per 111.00 unit The company also established the following cost formulas for its selling expenses: Fixed Cost per Month Variable Cost per Unit Sold Advertising Sales salaries and commissions Shipping expenses 340,000 380, 000 S26.00 S 17.00 The planning budget for March was based on producing and selling 28,000 units. However, during March the company actually produced and sold 34,000 units and incurred the following costs: a. Purchased 180,000 pounds of raw materials at a cost of $8.50 per pound. All of this material was used in production. b. Direct-laborers worked 69,000 hours at a rate of $15.00 per hour c. Total variable manufacturing overhead for the month was $565,110. d. Total advertising, sales salaries and commissions, and shipping expenses were $345,000, $525,000, and $255,000, respectively