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The standard costs and actual costs for factory overhead for the manufacture of 2,600 units of actual production are as follows: Standard Costs Fixed overhead

The standard costs and actual costs for factory overhead for the manufacture of 2,600 units of actual production are as follows:

Standard Costs
Fixed overhead (based on 10,000 hours) 3 hours per unit at $0.72 per hour
Variable overhead 3 hours per unit at $2.05 per hour
Actual Costs
Total variable cost, $18,200
Total fixed cost, $7,800

The total factory overhead cost variance is

a.$2,210 unfavorable

b.$5,378 favorable

c.$3,794 unfavorable

d.$3,794 favorable

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