The efficiency variance for fixed overhead costs ________.
A) is greater than the flexible budget variance for fixed overhead costs
B) is greater than the spending variance for fixed overhead costs
C) is greater than the flexible budget variance for variable overhead costs
D) does not exist

Question

Quizplus · Accepted Answer

The efficiency variance for fixed overhead costs does not exist because fixed overhead costs do not vary with changes in production level or activity.

The Efficiency Variance for Fixed Overhead Costs ________