Problem 8-32 (book/static) Question Help The Sourdough Bread Company bakes baguettes for distribution to upscale grocery stores. The company has two direct-cost categories: direct materials and direct manufacturing labour. Variable manufacturing overhead is allocated to products on the basis of standard direct manufacturing labour-hours. Following is some budget data for the Sourdough Bread Company (Click the icon to view the budget data.) The Sourdough Bread Company provides the following additional data for the year ended December 31, 2017: Additional data X X Budget data Planned (budgeted) output 3,100,000 baguettes Direct manufacturing labour use 0.02 hours per baguette Actual production 2,600,000 baguettes Variable manufacturing overhead $ 10.00 per direct manufacturing labour-hour Direct manufacturing labour 46,800 hours Actual variable manufacturing overhead $617,760 Required X Print Done 1. What is the denominator level used for allocating variable manufacturing overhead? (That is, for how many direct manufacturing labour-hours is Sourdough Bread budgeting?) 2. Prepare a variance analysis of variable manufacturing overhead. Enter any number in the edit fields and then click Check Answer. 3. Discuss the variances you have calculated and give possible explanations for them. 5 parts