Gina Production Company uses a standard costing system.The following information pertains to 2011: The overhead rate is based on an activity level of 10,000 units.Standard cost data for 5,000 units is as follows:
What is the fixed overhead volume variance for Gina Production Company?
A)$1,350 F
B)$3,600 F
C)$4,125 U
D)$1,350 U

Question

Gina Production Company uses a standard costing system.The following information pertains to 2011:  The overhead rate is based on an activity level of 10,000 units.Standard cost data for 5,000 units is as follows:
 What is the fixed overhead volume variance for Gina Production Company?
A)$1,350 F 
B)$3,600 F 
C)$4,125 U 
D)$1,350 U

Quizplus · Accepted Answer

The Answer of Gina Production Company uses a standard costing system.The following information pertains to 2011:  The overhead rate is based on an activity level of 10,000 units.Standard cost data for 5,000 units is as follows:
 What is the fixed overhead volume variance for Gina Production Company?
A)$1,350 F 
B)$3,600 F 
C)$4,125 U 
D)$1,350 U

Gina Production Company Uses a Standard Costing System