Question
The following information for the past year is available from Gas Company, a company that uses machine hours to apply standard factory overhead cost
The following information for the past year is available from Gas Company, a company that uses machine hours to apply standard factory overhead cost to outputs: Actual total factory overhead cost incurred Actual fixed overhead cost incurred Budgeted fixed overhead cost Actual machine hours Standard machine hours allowed for the units manufactured Denominator volume-machine hours Standard variable overhead rate per machine hour $ 35,000 $ 14,000 $ 10,000 8,000 4,900 5,600 $ 3 The fixed factory overhead production-volume variance, to the nearest whole dollar, is: (Do not round your intermediate calculations; Round your final answer to zero decimal places.) Multiple Choice $1,950 favorable. $450 unfavorable. $1,250 unfavorable.
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