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Maxima Corp. uses a standard cost system with machine-hours as the activity base for both variable and fixed manufacturing overhead (VMOH & FMOH). The following

Maxima Corp. uses a standard cost system with machine-hours as the activity base for both variable and fixed manufacturing overhead (VMOH & FMOH). The following information relates to production for last year:

Variable Fixed
Total budgeted overhead (at the denominator level of activity) $14,000 ?
Total applied overhead $15,400 $28,600
Total actual overhead $15,700 $31,800

The actual machine-hours incurred were 2,300. VMOH Efficiency Variance was $700 Unfavorable.

What was Maxima's FMOH Volume Variance?

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