The standard fixed factory overhead rate is based on 100% capacity of 120,000 machine hours for Thompson Inc. The standard costs and the actual costs of factory overhead for the production of 25,000 units during March were as follows: Actual: Factory overhead $950,000 Standard: 100,000 hours at $9.00 900,000 If there was a $60,000 unfavorable volume variance for March, what is the standard fixed factory overhead cost rate? a. $3.00 b. $2.50 c. $6.67 d. $0.60