Fletcher Company collected the following data regarding production of one of its products. Compute the fixed overhead cost variance.

Direct labor standard (2 hrs. @ $13.60/hr.)	$	27.20		per finished unit
Actual direct labor hours		102,500		hrs.
Budgeted units		52,500		units
Actual finished units produced		50,500		units
Standard variable OH rate (2 hrs. @ $16.60/hr.)	$	33.20		per finished unit
Standard fixed OH rate ($620,000/62,000 units)	$	10.00		per unit
Actual cost of variable overhead costs incurred	$	1,673,600
Actual cost of fixed overhead costs incurred	$	625,000

Multiple Choice

• $19,600 favorable.

• $120,000 favorable.

• $120,000 unfavorable.

• $19,600 unfavorable.

• $16,600 unfavorable.