7.)

The following data pertains to the month of October for ElmCo when production was budgeted to be 5,000 units of P90. Fixed manufacturing overhead (FOH) traceable to the production of P90 was budgeted to be $61,000 for the month. FOH is assigned to Work in Process on the basis of the number of inspections performed using the annual pre-determined rate of $6.00 per inspection. Each unit of ElmCo is expected to be inspected twice during production. The actual results for October were 4,700 units of P90 produced and 9,600 inspections performed. Actual Fixed manufacturing overhead costs incurred totaled $64,650.

Determine the fixed overhead spending (or price) variance. Negative numbers indicate a favorable variance. (Round to the nearest $1.00)