Use this information for Bonny Company to answer the question that follows.

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 @ $0.71 per hour
Variable overhead	3 hours per unit @ $2.01 per hour
Actual Costs
Total variable overhead cost, $18,000
Total fixed overhead cost, $7,900

The fixed factory overhead volume variance is

a. $1,250 favorable

b. $0

c. $1,250 unfavorable

d. $1,562 unfavorable