L-18 Variable manufacturing overhead variance analysis. The French Bread Company bakes baguettes r distribution to upscale grocery stores. The company has two direct-cost categories: direct materials 1d direct manufacturing labor. Variable manufacturing overhead is allocated to products on the basis of andard direct manufacturing labor-hours. Following is some budget data for the French Bread Company: Direct manufacturing labor use 0.02 hours per baguette Variable manufacturing overhead $10.00 per direct manufacturing labor-hour 1a French Bread Company provides the following additional data for the year ended December 31, 2014: Planned lbudgetedloutput 3,200,000 baguettes Actual production 2,800,000 baguettes Directmanufacturing labor 50,400 hours Actual variable manufacturing overhead $630,400 I. What is the denominator level used for allocating variable manufacturing overhead? (That is, for how many direct manufacturing labor-hours is French Bread budgeting?) L Prepare a variance analysis of variable manufacturing overhead. Use Exhibit 8-4 (page 326) for reference