Rounding/Entry Rules:

Round your numerical answers to the nearest DOLLAR.

Do not enter $ or , when entering amounts.

If asked to enter a word or letter, be sure you check the spelling.

Question:

The standard costs for Sophia D. Corporation, a company that makes elegant gowns for stars attending the Oscars and TIFF, are as follows:

Standard Cost per Unit		Total
Variable overhead	8 hours @ $9 per hour	$ 72

Overhead is applied to products on the basis of standard direct labor hours for actual production.

The following information is available regarding the company's operations for the period:

Actual units produced	105 units
Total actual direct labor hours	980 hours
Actual variable manufacturing overhead incurred	$9,200
Budgeted units for the period	110 units

Required:

Calculate the variable overhead variances.

Use your answer to answer the following questions.

NOTE: Please enter all variances as positive numbers.

The amount of the variable manufacturing overhead spending variance for the period is $______________.

Indicate if the variable manufacturing overhead spending variance is favourable (enter the letter F) or unfavourable (enter the letters UF).

The amount of the variable manufacturing overhead efficiency variance for the period is $______________.

Indicate if the variable manufacturing overhead efficiency variance is favourable (enter the letter F) or unfavourable (enter the letters UF).