Problem 16-75 (Algo) Comprehensive Variance Problem (LO 16-5, 6) Robinwood Fixtures manufactures two products, K4 and X7. The company prepares its master budget on the basis costs. The following data are for September: Standards Direct materials Direct labor Variable overhead (per direct labor-hour) Fixed overhead (per month) Expected activity (direct labor-hours) Actual results Direct material (purchased and used) Direct labor Variable overhead Fixed overhead Units produced (actual) K4 0.75 pounds at $9.00 per pound 1.25 hours at $27.00 per hour $ 22.20 $ 417,600 17,400 10,800 pounds at $8.40 per pound 14,850 hours at $27.30 per hour $ 351,060 $ 391,740 12,300 units Required: a. Prepare a variance analysis for each variable cost for each product. b. Prepare a fixed overhead variance analysis for each product. Note: For all requirements, Do not round intermediate calculations. Indicate the effect of each variance by se :e Problem (LO 16-5, 6) 7. The company prepares its master budget on the basis of standard K4 0.75 pounds at $9.00 per pound 1.25 hours at $27.00 per hour $ 22.20 $ 417,600 17,400 10,800 pounds at $8.40 per pound 14,850 hours at $27.30 per hour $ 351,060 $ 391,740 12,300 units X7 1 pound at $9.60 per pound 1.50 hours at $30 per hour $ 24.00 $ 494,550 23,550 14,250 pounds at $9.90 per pound 22,350 hours at $33.60 per hour $ 469,212 $ 491,640 14,550 units Required: a. Prepare a variance analysis for each variable cost for each product. b. Prepare a fixed overhead variance analysis for each product. Note: For all requirements, 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. K4 X7 Price Variance Efficiency Variance Production Volume Variance Price Variance Efficiency Variance Direct materials $ 6,480 F $ 3,075 U $ 4,275 U $ OF Direct labor $ 4,455 U $ 3,075 F $ 80,460 U $ OU Variable overhead $ 26,730 U $ 3,075 F $ 134,100 F $ OU Fixed overhead $ 21,390 F $122,400 U $ 67,188 F $