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Answer
Fixed factory overhead volume variance=
=(2700*2-4900) *2.10
=(5400-4900) *2.10
= 500*2.10= 1050 favorable
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product that required 6.5 standard hours per unit. The standard
fixed overhead cost per unit is $2.60 per hour at 11,300 hours,
which is 100% of normal capacity. Determine the fixed factory
overhead volume variance. Enter a favorable variance as a negative
number using a minus sign and an unfavorable variance as a positive
number.
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