Determine the production-volume overhead variance

Question

Everjoice Company makes clocks. The fixed overhead costs for 20X5 total $720,000. The company uses direct labor-hours for fixed overhead allocation and anticipates 240,000 hours during the year for 480,000 units. An equal number of units are budgeted for eachmonth.During June, 42,000 clocks were produced and $63,000 were spent on fixed overhead.

Required:

1. Determine the fixed overhead rate for 20X5 based on units of input.
2. Determine the fixed overhead static-budget variance for June.
3. Determine the production-volume overhead variance for June