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The standard costs and actual costs for factory overhead for the manufacture of 2,500 units of actual production are as follows: Standard Costs Fixed overhead

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The standard costs and actual costs for factory overhead for the manufacture of 2,500 units of actual production are as follows: Standard Costs Fixed overhead (based on 10,000 hours) Variable overhead 3 hours per unit at $0.80 per hour 3 hours per unit at $2.00 per hour Actual Costs Total variable cost, $18,000 Total fixed cost, $8,000 The fixed factory overhead volume variance is a. $2,500 unfavorable b. $0 c. $2,000 unfavorable d. $2,000 favorable

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