The fixed overhead budget variance compares
A) actual variable overhead with actual fixed overhead.
B) budgeted variable overhead with budgeted fixed overhead.
C) actual fixed overhead with budgeted fixed overhead.
D) actual total cost of units produced with the budgeted production.

Question

Quizplus · Accepted Answer

The fixed overhead budget variance compares the actual fixed overhead with the budgeted fixed overhead. This variance helps in identifying the differences between the amount of fixed overhead that was budgeted and the amount that was actually incurred.

The Fixed Overhead Budget Variance Compares