$$57,600,$ and actual, $$63,920.$ In June $2020$ there were $1,260$ suits started and completed. There were no beginning or ending inventories of suits.

Requirements

Compute the spending variance for fixed manufacturing overhead. Comment on the results.

Compute the production$-$volume variance for June $2020.$ What inferences can Top $-$ Notch Clothing draw from this variance?

Requirement $1.$ Compute the spending variance for fixed manufacturing overhead. Comment on the results.

Begin by computing the following amounts for the fixed manufacturing overhead.

$\backslash$table$[[,\backslash$table$[[$Same Budgeted$],[$Lump Sum$]],\backslash$table$[[$Flexible Budget:$],[$Same Budgeted$],[$Lump Sum$]],],[\backslash$table$[[$Actual Costs$],[$Incurred$]],\backslash$table$[[$Regardless of$],[$Output Level$]],\backslash$table$[[$Regardless of$],[$Output Level$]],\backslash$table$[[$Allocated$],[$Overhead$]]],[[,,,]]$