Chef's-Best Company is planning to produce 800,000 electric mixers for the coming year. Each mixer requires one-half standard hour of labor for completion. The com- pany uses direct labor hours to assign overhead to products. The total overhead bud- geted for the coming year is $1,120,000, and the standard fixed overhead rate is $0.55 per unit produced. Actual results for the year follow:
Required
1. Compute the applied fixed overhead.
2. Compute the fixed overhead spending and volume variances.
3. Compute the applied variable overhead.
4. Compute the variable overhead spending and efficiency variances.