Given the following data:

Actual units produced: 12,000

Actual fixed overhead incurred: $747,000

Standard fixed overhead rate: $13 per hour

Budgeted fixed overhead: $720,000

Planned level of machine-hour activity: 55,000

the fixed overhead budget variance is:

• $27,000 favorable.
• $27,000 unfavorable.
• $65,000 favorable.
• $65,000 unfavorable.
• None of the answers is correct.