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In: AccountingTaylor Inc. uses a standard cost system. The company has thefollowing results for the current...Taylor Inc. uses a standard cost system. The company has thefollowing results for the current period: BudgetActual Fixed overhead$160,000$160,000 Units6,500units6,000units Direct labour-hours (DLH)13,333hours12,500hoursStandard quantity of DLH per unit2.0152hours Variable overhead is applied at $27.50 per direct labour-hour.Actual variable overhead was $310,600. Required:1.Compute the fixed overhead budget variance and the volumevariance. (Indicate the effect of each variance byselecting "F" for favorable, "U" for unfavorable, and "None" for noeffect (i.e., zero variance).)2.“Because the actual overhead and the budgeted overhead are thesame the volume variance is 0.” True or false? Showcalculations.TrueFalse3.Compute the total variable overhead variance. (Indicatethe effect of each variance by selecting "F" for favorable, "U" forunfavorable, and "None" for no effect (i.e., zerovariance).)