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Regency Corp. uses a standard cost system to account for the costs of its one product. Fixed overhead is applied to production at a rate
Regency Corp. uses a standard cost system to account for the costs of its one product. Fixed overhead is applied to production at a rate of $27.10 per unit, based on budgeted production is 2,445 per month. During November, Regency produced 2,295 units. Fixed overhead incurred totaled $70,420.
a. Calculate the fixed overhead spending variance.
b. Calculate the fixed overhead volume variance.
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