What Type of Variance Results When the Actual Fixed Overhead

question 66

Multiple Choice

What type of variance results when the actual fixed overhead costs incurred are greater than the budgeted fixed overhead costs?

• A)Favorable fixed overhead budget variance
• B)Unfavorable fixed overhead budget variance
• C)Favorable fixed overhead volume variance
• D)Unfavorable fixed overhead volume variance

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Definitions:

Probability

The quantification of the chances that a specific event will take place.

Disjunction

A logical operation that yields truth if at least one of its operands is true; often represented by the word "or".

Negation

The logical operation that inverts the truth value of a statement or proposition.

Rain

Precipitation in the form of water droplets that falls from clouds in the atmosphere to the earth's surface.