Refer to Jewel Company. What is the fixed overhead volume variance?
A) $8,000 U
B) $24,000 U
C) $28,000 F
D) $60,000 U

Question

Quizplus · Accepted Answer

The fixed overhead volume variance is calculated as the difference between the budgeted fixed overhead and the applied fixed overhead based on actual production. The variance of $60,000 U indicates that the actual production was less than expected, leading to under-applied fixed overhead.