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The following information is available from the Terry Company: Actual total factory overhead cost incurred $ 22,000 Actual fixed overhead cost incurred $ 10,100 Budgeted

The following information is available from the Terry Company:

Actual total factory overhead cost incurred $ 22,000
Actual fixed overhead cost incurred $ 10,100
Budgeted fixed overhead expenses $ 12,000
Actual direct labor hours (DLH) worked 4,800
Standard DLHs for this periods production (output) 4,200
Standard variable overhead rate per DLH $ 3.00
Standard fixed overhead rate per DLH $ 2.50

What is the fixed overhead production volume variance for Terry Company for the period?

Multiple Choice

  • $1,100 favorable.

  • $1,500 unfavorable.

  • $1,700 unfavorable.

  • $1,900 favorable.

  • $1,900 unfavorable.

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