Crystal Glassware Company has the following standards and flexible-budget data.

    

Standard variable-overhead rate	$6.00 per direct-labor hour
Standard quantity of direct labor	2 hours per unit of output
Budgeted fixed overhead	$100,000
Budgeted output	25,000 units

Actual results for April are as follows:

    

Actual output	20,000 units
Actual variable overhead	$320,000
Actual fixed overhead	$97,000
Actual direct labor	50,000 hours

Required: Use the variance formulas to compute the following variances. Indicate whether each variance is favorable or unfavorable, where appropriate.

1. Variable-overhead spending variance.

2. Variable-overhead efficiency variance.

3. Fixed-overhead budget variance.

4. Fixed-overhead volume variance.

Answer rating: 100% (QA)

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