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Use this information to answer the question that follow. The standard costs and actual costs for factory overhead for the manufacture of 2,500 units of
Use this information to answer the question that follow. 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) 3 hours per unit @ $0.78 per hour Variable overhead 3 hours per unit @ $1.93 per hour Actual Costs Total variable cost, $18,100 Total fixed cost, $8,200 The total factory overhead cost variance is Oa. $3,625 unfavorable Ob. 5,575 unfavorable Oc. $7,525 favorable Od. $5,575 favorable
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