Question: I need help with variable overhead efficiency variance and fixed overhead production volume variance please!! The standard cost sheet for Chambers Company, which manufactures one

I need help with variable overhead efficiency variance and fixed overhead production volume variance please!!

The standard cost sheet for Chambers Company, which manufactures one product, follows:

Direct materials, 30 yards at $2.00 per yard $ 60
Direct labor, 6 hours at $25 per hour 150
Factory overhead applied at 70% of direct labor
(variable costs = $75; fixed costs = $30) 105
Variable selling and administrative 80
Fixed selling and administrative 56
Total unit costs $ 451

Standards have been computed based on a master budget activity level of 30,400 direct labor-hours per month. Actual activity for the past month was as follows:

Materials used 190,000 yards at $2.20 per yard
Direct labor 29,500 hours at $26.80 per hour
Total factory overhead $ 550,000
Production 4,700 units

Required:

Prepare variance analyses for the variable and fixed costs. Materials are purchased as they are used. (Do not round intermediate calculations. Indicate the effect of each variance by selecting "F" for favorable, or "U" for unfavorable. If there is no effect, do not select either option.)

Direct materials:
Price variance $38,000selected answer correct Uselected answer correct
Efficiency variance $98,000selected answer correct Uselected answer correct
Direct labor:
Price variance $53,100selected answer correct Uselected answer correct
Efficiency variance $32,500selected answer correct Uselected answer correct
Variable overhead:
Efficiency variance $352,500selected answer incorrect Uselected answer correct
Fixed overhead:
Production volume variance $53,100selected answer incorrect U

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