You have just been hired by FAB Corporation, the manufacturer of a revolutionary new garage door opening device. The president hasasked that you review the company's costing system and "do what you can to help us get better control of our manufacturingoverhead costs You find that the company has never used a flexible budget, and you suggest that preparing such a budget would bean excellent first step in overhead planning and control.After much effart and analysis, you determined the following cost formulas and gathered the following actual cost data for March:ActualCost inMarch$ 22, 100$ 56, 800$ 13, 800$119, 100$ 69, 700Cost FormulaUtilitiesMaintenanceSuppliesIndirect labor $94, 20e + $1.20 per machine-hourDepreciation$16, 100 + $e. 21 per machine-hour$39, 000 + $1.20 per machine-hour$e.70 per machine-hour$68, 000During March, the company worked 18.000 machine-hours and produced 12,000 units. The company had originally planned to work20,000 machine-hours during March.Required:1 Calcutate the activity veriences for March.z Calculate the spending vanances for March.Complete this question by entering your answers in the tabs below.RaquiredRequired 2Calculate the activity variances for March. (Indicate the effect of each varlance by selectingE tor tavorable U forUNavorable, end "None for no etfect (1.e zero variance). Input all anmounts es positive valuesFAB CorporatioonActivity VariancesFor the Month Ended Match 31Prev During March, the company worked 18,000 machine-hours and produced 12,000 units. The company had originally planned to work20,000 machine-hours during March.Requlred:1. Calculate the activity variances for March.2. Calculate the spending variances for Merch.Complete this question by entering your answers in the tabs below.Required 1Required 2Calculate the activity variances for March. (Indicate the effect of each variance by selecting "F" for favorable, "U" forunfavorable, and "None" for no effect (i.e., zero variance). Input all amounts as positive values.)FAB CorporationActivity VariancesFor the Month Ended March 31UtesMaintenanceSupplesIndirect laborDepreciation(TotalRequired 2

Name: You have just been hired by FAB Corporation, the manufacturer of a re
Uploaded: 2024-03-20T06:33:06.000Z
Channel: Bartleby
Description: You have just been hired by FAB Corporation, the manufacturer of a revolutionary new garage door opening device. The president hasasked that you review the company's costing system and "do what you can to help us get better control of our manufactur