Taylor Inc. manufactured 45,000 finished units during May. Taylor uses a standard cost system. The following fixed overhead data pertain to May:

Actual Static Budget

Production 45,000 units 40,000 units

Machine-hours 6,100 hours 6,000 hours

Fixed overhead costs for March $163,000 $154,000

What is the fixed overhead production-volume variance?

Select one:

a. $19,250 unfavorable

b. $19,250 favorable

c. None of the selections are correct.

d. $2,566 unfavorable

e. $9,000 unfavorable

(8)