Data tableStatic budget variable overhead$2,300Static budget fixed overhead$23,000Static budget direct labor hours575 hoursStatic budget number of units23,000 unitsStandard direct labor hours0.025 hours per fenderPrintDoneRequirements1. Compute the overhead variances for the year: variable overhead costvariance, variable overhead efficiency variance, fixed overhead cost variance,and fixed overhead volume variance.2. Explain why the variances are favorable or unfavorable.PrintDone Quality Fender uses a standard cost system and provide the following information:m (Click the ioon to view the information.)Quality Fender allocates manufacturing overhead to production based on standard direct labor hours. Quality Fender reported the folowing actual resuits for 2024:actual number of fenders produced, 20,000; actual variable overhead, $5,300; actual fixed overhead, $34,000, actual direct labor hours, 360.Read the requirementsRequirement 1. Compute the overhead variances for the year. variable overhead cost variance, variable overhead efficiency variance, fixed overthead 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 identitwhether 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 AC= actual quantity, FOH = fxed overhead; SC standard cost SQ = standard quantity, VOH = variable overhead.)FormulaVarianceVOH cost varianceVOH efficiency variance

Name: Data tableStatic budget variable overhead$2,300Static budget fixed ov
Uploaded: 2024-03-20T06:33:06.000Z
Channel: Bartleby
Description: Data tableStatic budget variable overhead$2,300Static budget fixed overhead$23,000Static budget direct labor hours575 hoursStatic budget number of units23,000 unitsStandard direct labor hours0.025 hours per fenderPrintDoneRequirements1. Compute the