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Montoursville Control Company, which manufactures electrical switches, uses a standard-costing system. The standard production overhead...

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Accounting

Montoursville Control Company, which manufactures electrical switches, uses a standard-costing system. The standard production overhead costs per switch are based on direct-labor hours and are as follows:
*Based on capacity of 300,000 ?direct-labor hours per month.
The following information is avallable for the month of October.
- ?Varlable-overhead costs were \( \$ 2,388,000 \).
- ?Fixed-overhead costs were \( \$ 3,798,000 \).
- 57,840 ?switches were produced, although 66,400 ?switches were scheduled to be produced.
- 283,000 ?direct-labor hours were worked at a total cost of \$2,630,000.
Required:
Compute the varlable-overhead spending and efficlency varlances and the fixed-overhead budget and volume variances for October.
Note: Indlcate the effect of the first three varlance by selecting "Favorable" or "Unfavorable". Select "None" and enter "0" ?for no effect (l.e., ?zero varlance). ?Select "Positlve" or "Negative" for the Fixed-overhead Volume varlance.
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