The following information for the past year is available from Thinnews Co., a company that uses machine hours to apply standard factory overhead cost to outputs:

Actual total factory overhead cost incurred	$	35,000
Actual fixed overhead cost incurred	$	14,000
Budgeted fixed overhead cost	$	10,000
Actual machine hours		8,000
Standard machine hours allowed for the units manufactured		4,900
Denominator volumemachine hours		5,600
Standard variable overhead rate per machine hour	$	3

The fixed factory overhead production-volume variance, to the nearest whole dollar, is: (Do not round your intermediate calculations.)

Multiple Choice

• $450 unfavorable.

• $850 favorable.

• $1,250 unfavorable.

• $1,350 favorable.

• $1,950 favorable.

Please show your work, thanks!