. Compute the controllable variance. Controllable Variance Controllable variance edona Company set the following standard costs for one unit of its product for 2017. Direct material (15 Ibs. $3.28 per Ib.) Direct labor (18 hrs. $7.88 per hr.) Factory variable overhead (18 hrs. $4.19 per hr.) Factory fixed 48.80 8.80 41.88 hrs. $1.70 per hr.) $176.e The $5.80 ($4.10 + $1.70) total overhead rate per direct labor hour is based on an expected operating level equal to 70% of the factory's capacity of 51,000 units per month. The following monthly flexible budget information is also available. rating Levels (% of capacit 78% Flexible Budget Budgeted output (units) Budgeted labor (standard hours) Budgeted overhead (dollars) 33,15e 331,58e 35, 708 357,88e 38,25e 382,588 Variable overhead Fixed overhead Total overhead $1,359,158 $1,463,70e $1,568, 25e 686,99e 686,98 66,98e $1,966,e58 $2,878,68e $2,175,15e During the current month, the company operated at 65% of capacity, employees worked 320,000 hours, and the following actual overhead costs were incurred. Variable overheadcosts Fixed overhead costs Total overhead costs $1,325,8ae 649,65e $1,974,658 . Compute the variable overhead spending and efficiency variances. Standard Cost (VOH applied) SH Actual Variable OH Cost Flexible Budget AH AVR AH SVR SVR 2. Compute the fixed overhead spending and volume variances and classify each as favorable or unfavorable. Actual Fixed OH cost Fixed OH (Fixed Budgeted) Standard Cost (FOH applied)