levelor company's flexible budget shows $10,770 of overhead at 75% of capacity, which was the operating level achieved during may. however, the company applied overhead to production during may at a rate of $2.00 per direct labor hour based on a budgeted operating level of 6,180 direct labor hours (90% of capacity). if overhead actually incurred was $11,249 during may, the controllable variance for the month was: