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The difference between the total factory overhead cost in the flexible budget for the actual units produced and the amount of factory overhead cost applied

The difference between the total factory overhead cost in the flexible budget for the actual units produced and the amount of factory overhead cost applied to products using the standard overhead rate is called the factory overhead ______________:

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  • Flexible-budget variance

  • Production-volume variance

  • Total fixed cost variance

  • Efficiency variance

  • Controllable variance

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