Jackson Company's overhead rate was based on estimates of $200,000 for overhead costs and 20,000 direct labor hours. Jackson's standards allow 2 hours of direct labor per unit produced. Production in May was 900 units, and actual overhead incurred in May was $20,780. The overhead budgeted for 1,800 standard direct labor hours is $17,600 ($5,016 fixed and $12,584 variable).
Compute the total, controllable, and volume variances for overhead.
1)Total overhead variance
2)Overhead controllable variance
3)Overhead volume variance