Benson Company, which uses a standard cost system, budgeted $675,000 of fixed overhead when 45,000 machine hours were anticipated. Other data for the period were: Actual units produced: 12,000 Standard production time per unit: 3.6 machine hours Fixed overhead incurred: $710,000 Actual machine hours worked: 47,000

Benson's fixed-overhead budget variance is:

a. $27,000 favorable

b. $35,000 favorable

c. $27,000 unvaforable

d. $35,000 unfavorable

e. $12,000 favorable

Benson's fixed-overhead volume variance is:

a. 27,000 unfavorable

b. 35,000 unfavorable

c. 12,000 favorable

d. 35,000 favorable

e. 27,000 favorable