Question Content Area

The standard costs and actual costs for factory overhead for the manufacture of $2,900$ units of actual production are as follows:

Standard Costs

Fixed overhead $($based on $10,000$ hours$)3$ hours per unit at $$0\mathrm{.}77$ per hour

Variable overhead $3$ hours per unit at $$1\mathrm{.}94$ per hour

Actual Costs

Total variable cost, $$17,900$

Total fixed cost, $$8,100$

The fixed factory overhead volume variance is

a$.$ $$1,001$ unfavorable

b$.$ $$0$

c$.$ $$801$ favorable

d$.$ $$801$ unfavorable