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Baby Frames, Inc. evaluates manufacturing overhead in its factory by using variance analysis. The following information applies to the month of May: actual budgeted Number

Baby Frames, Inc. evaluates manufacturing overhead in its factory by using variance analysis. The following information applies to the month of May:

actual budgeted

Number of frames manufactured

19,000

20,000

Variable overhead costs

$4,100

$2 per direct labor hour

Fixed overhead costs

$22,000

$20,000

Direct labor hours

2,100

0.1 hour per frame

What is the fixed overhead spending variance?

a. $1,000 favorable.

b. $1,000 unfavorable.

c. $2,000 favorable.

d. $2,000 unfavorable.

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