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favorable or unforvable ? The following information is available for the Danske Company: Denominator hours for May Actual hours worked during May Standard hours allowed

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The following information is available for the Danske Company: Denominator hours for May Actual hours worked during May Standard hours allowed for May Flexible budget fixed overhead cost Actual fixed overhead costs for May 18,500 19,600 14,800 $115,000 $118,000 Danske Company had total underapplied overhead of $17,800. Additional information is as follows: 40, 800 Variable Overhead: Applied based on standard direct labor hours allowed Budgeted based on standard direct labor hours Fixed Overhead: Applied based on standard direct labor hours allowed Budgeted based on standard direct labor hours $58,000 29,800 Is the production volume variance favorable or unfavorable? Multiple Choice

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