-Refer to the Figure Required:
A

Essay

$\begin{array}{lrr}\text { Overhead Item }&\text { Fixed Cost }&\text { Variable Rate per DLH }\\\text { Maintenance } & \$ 52,000 & \$ 1.20 \\\text { Power } & & 1.50 \\\text { Indirect labour } & 79,500 & 4.80 \\\text { Rent } & 54,000 &\end{array}$
-Refer to the Figure.Assume that Cold Cream actually produced 240,000 L of Icy and 200,000 of Tasty.The actual overhead costs incurred were:
$\begin{array}{lr}\text { Maintenance } & \$ 192,000 \\\text { Power } & 181,700 \\\text { Indirect labour } & 649,500 \\\text { Rent } & 54,000\end{array}$
Required:
A. Prepare a performance report for the period.
B. Based on the report, would you judge any of the variances to be signi ficant? Discuss some possible reasons for the variances.