White Company Budgeted Fixed Overhead Costs of $200,000 and Volume

question 113

Multiple Choice

White Company budgeted fixed overhead costs of $200,000 and volume of 40,000 units. During the year, the company produced and sold 39,000 units and spent $210,000 on fixed overhead.The spending variance relating to the fixed overhead cost is:

• A) $10,000 favorable.
• B) $10,000 unfavorable.
• C) $5,000 favorable.
• D) $5,000 unfavorable.

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