Road Ready Tire Co. manufacturers automobile tires. Standard costs and actual co

Road Ready Tire Co. manufacturers automobile tires. Standard costs and actual costs for direct materials direct labor and factory overhead incurred for the manufacture of 5200 tires were as follows: Direct Materials: Standard cost 71000lbs at $5.10 Actual Costs 70600lbs at $5.00 Direct Labor: Standard Costs 1300 hrs at $17.50 Actual Costs 1330 hrs at $17.80 Factory Overhead: Standard Costs: Rates per direct labor hr. based on 100% of normal capacity of 1350 direct labor hrs: Standard Costs Variable cost $3.10 Actaul costs $4000 variable cost Standard Costs Fixed cost $4.90 Actual costs $6615 fixed costEach tire requires 0.25 hour of direct labor.Alternative Computation of Overhead Variances: Factory Overhead Actual Costs Applied Costs Balance Budgeted Factory Actual Factory Overhead for Amount Applied Factory Overhead Produced Overhead Variable cost Fixed cost Total F U Controllable VolumeVariance Variance U Total factory overhead cost variance