Fact Pattern:

Franklin Glass Works' production budget for the year ended November 30 was based on 200,000 units. Each unit requires 2 standard hours of labor for completion. Total overhead was budgeted at $900,000 for the year, and the fixed overhead rate was estimated to be $3.00 per unit. Both fixed and variable overhead are assigned to the product on the basis of direct labor hours. The actual data for the year ended November 30 are presented as follows.Actual production in units

198,000

Actual direct labor hours

440,000

Actual variable overhead

$352,000

Actual fixed overhead

$575,000

Question

Franklin's variable overhead spending variance for the year is

• A.
• $20,000 unfavorable.
• B.
• $22,000 unfavorable.
• C.
• $19,800 favorable.
• D.
• $20,000 favorable.