kindly solve this practice Problem No 3

banag Mi hour. Required: Compute the labor rate variance and a labor efficiency variance. Practice Problem #3 Universal Parcel provides parcel delivery services to many merchants. The company maintains warehouses that store and distribute items carried by all the different merchants. In the most recent month, 12,000 orders were shipped to customers using $50,000 of direct labor and 2,500 direct labor hours. The company incurred a total of $20,000 in variable overhead costs and $6,000 in fixed overhead costs. For the year, Universal budgeted $84,000 of fixed overhead and 28,000 deliveries. According to the company's standards, 0.2 direct labor-hours are required to fulfill an order at a rate of $20.00 per hour. The variable overhead rate is 45% of the direct labor cost per hour. Required: a) Compute variable overhead controllable spending variance. b) Compute the fixed overhead volume variance. 653 WORDS ENGLISH (UNITED STATES