Previous Page Next Page Page 13 of 18 The Dillon Company makes and sells a single product and uses a flexible budget for overhead to plan and control to overhead costs. Overhead costs are applied on the basis of direct labor hours. The standard cost card shows that 5 direct labor hours are required per unit. The Dillon Company had the following budgeted and actual data for March: Actual Budgeted Units Produced 33,900 30,800 Direct Labor Hours 161.800 154,000 Variable Overhead Costs $140,500 $123,200 Fixed Overhead Costs $80,000 $77,000 Please use the above information to answer the following two questions. Question 26 (3 points) What was the fixed overhead volume variance for March? $3,900 unfavorable O $7,750 favorable $1,550 favorable $7,750 unfavorable