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RED Business Unit provided the following information: Actual Budgeted Units produced 11 200 10 000 Direct labour hours 54 000 60 000 Fixed overhead costs

RED Business Unit provided the following information: Actual Budgeted Units produced 11 200 10 000 Direct labour hours 54 000 60 000 Fixed overhead costs R48 000 R60 000 Fixed overheads are allocated to products on the basis of direct labour hours. The fixed overhead budget variance for the RED Business Unit can be calculated as

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