A. Show the solution for each. Compute in details the Variable Manufacturing Overhead Variances - Spending and Efficiency.

B. Show the solution for each. Compute in details the Fixed Manufacturing Overhead Variances - Budget and Volume.

Direct materials: Direct labour: Variable mfg overhead: Fixed mfg overhead: 6 microns per toy @ $1.00 per micron 1.3 hours per toy @ $8 per hour 1.3 hours per toy @ $4 per hour 1.3 hours per toy @ $6 per hour During January, the company produced 6,000 Beadazzler toys. The fixed overhead expense budget for January was $48,360 with 8,060 direct labour-hours as the denominator level of activity. Production data for the month on the toys follow: Direct materials: Direct labour: 50000 microns were purchased and used in production at a cost of $0.96 per micron 8000 direct labour hours were worked at a cost of $72000 Variable manufacturing overhead: Actual cost in January was $34,000. Fixed manufacturing overhead: Actual cost in January was $50,000.