Cornerstone Exercise 9.6 (Algorithmic) Calculating the Total Overhead Variance

Standish Company manufactures consumer products and provided the following information for the month of February:

Units produced	131,600
Standard direct labor hours per unit	0.2
Standard variable overhead rate (per direct labor hour)	$3.40
Actual variable overhead costs	$88,650
Actual hours worked	26,500

Required:

1. Calculate the total variable overhead variance. $

2. What if actual production had been 128,900 units? How would that affect the total variable overhead variance? Indicate what the new variance would be below. $