Transactions for buyer and seller shore co. sold merchandise to blue star co. on account, $111,400, terms fob shipping point, 2/10, n/30. the cost of the goods sold is $66,840. shore paid freight of $1,800. journalize shore co.'s entry for the sale, purchase, and payment of amount due. if an amount box does not require an entry, leave it blank. journalize blue star co.'s entry for the sale, purchase, and payment of amount due. if an amount box does not require an entry, leave it blank.

Oerstman, inc. uses a standard costing system and develops its overhead rates from the current annual budget.the budget is based on an expected annual output of 120,000 units requiring 480,000 direct labor hours.(practical capacity is 500,000 hours)annual budgeted overhead costs total $772,800, of which $556,800 is fixed overhead.a total of 119,300 units, using 478,000 direct labor hours, were produced during the year.actual variable overhead costs for the year were $260,400 and actual fixed overhead costs were $555,450.required: 1. compute the fixed overhead spending variance and indicate if favorable or unfavorable.2. compute the fixed overhead volume variance and indicate if favorable or unfavorable.