Requirement 1. Compute the overhead variances for the year variable overhead cost variance variable overhead efficiency variance, fixed overhead cost variance and fixed overhead volume variance. Begin with the variable overhead cost and efficiency variances. Select the required formulas, compute the variable overhead cost and efficiency variances, and identity whether each variance is favorable (F) or unfavorable (U). (You may need to simply the formula based on the data provided. Abbreviations used AC = actual cost: A actual quantity, FOH = foed overhead, SC standard cost SO standard quantity VOH = variable overhead.) Formula VOH cost variance VOH efficiency variance Now compute the fixed overhead cost and volume variances. Select the required formulas, compute the foxed overhead cost and volume variances, and identity whether each variance is favorable (F) or unfavorable (U). (Abbreviations used AC actual cost: AQ actual quantity: FOH = fixed overhead: SC = standard cost: SO standard quantity) FOH Cost variance FOH volume variance Choose from any list or enter any number in the input fields and then continue to the next question Requirement 2. Explain why the variances are favorable or unfavorable The variable overhead cost variance is because management spent than budgeted for the actual production The variable overhead efficiency variance is (incurred) based on direct labor because management sed direct labor hours than standard and variable overhead is applied The fed overhead cost variance is because management spent than the amount budgeted for fixed overhead The fixed overhead volume wance is because management allocated fred overhead to jobs than was budgeted. Premium Fender allocates manufacturing overhead to production based on standard direct labor hours. Premium Fender reported the following actual results for 2018 actual number of tenders produced, 20,000, actual variable overhead, 55,300 actual foed overhead, $27.000actual direct labor hours. 410. Read the regurements whether each variance is favorable (F) or und standard quantity 0 Data Table - X w ed overhead, SC Standard cost SQ FOH cost variance FOH volume variance $ 2.300 $ 23,000 Requirement 2. Explain why the variances Sac budget variable overhead Static budget fixed overhead Static budget direct labor hours Static budget number of units Standard direct obor hours The variable overhead cost variance is 23.000 units 0.025 hours per fender Requirement 1. Compute the overhead variances for the year variable overhead cost variance variable overhead efficiency variance, fixed overhead cost variance and fixed overhead volume variance. Begin with the variable overhead cost and efficiency variances. Select the required formulas, compute the variable overhead cost and efficiency variances, and identity whether each variance is favorable (F) or unfavorable (U). (You may need to simply the formula based on the data provided. Abbreviations used AC = actual cost: A actual quantity, FOH = foed overhead, SC standard cost SO standard quantity VOH = variable overhead.) Formula VOH cost variance VOH efficiency variance Now compute the fixed overhead cost and volume variances. Select the required formulas, compute the foxed overhead cost and volume variances, and identity whether each variance is favorable (F) or unfavorable (U). (Abbreviations used AC actual cost: AQ actual quantity: FOH = fixed overhead: SC = standard cost: SO standard quantity) FOH Cost variance FOH volume variance Choose from any list or enter any number in the input fields and then continue to the next question Requirement 2. Explain why the variances are favorable or unfavorable The variable overhead cost variance is because management spent than budgeted for the actual production The variable overhead efficiency variance is (incurred) based on direct labor because management sed direct labor hours than standard and variable overhead is applied The fed overhead cost variance is because management spent than the amount budgeted for fixed overhead The fixed overhead volume wance is because management allocated fred overhead to jobs than was budgeted. Premium Fender allocates manufacturing overhead to production based on standard direct labor hours. Premium Fender reported the following actual results for 2018 actual number of tenders produced, 20,000, actual variable overhead, 55,300 actual foed overhead, $27.000actual direct labor hours. 410. Read the regurements whether each variance is favorable (F) or und standard quantity 0 Data Table - X w ed overhead, SC Standard cost SQ FOH cost variance FOH volume variance $ 2.300 $ 23,000 Requirement 2. Explain why the variances Sac budget variable overhead Static budget fixed overhead Static budget direct labor hours Static budget number of units Standard direct obor hours The variable overhead cost variance is 23.000 units 0.025 hours per fender