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Tamarisk Company applies overhead based on direct labour hours. Two direct labour hours are required...

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Accounting

Tamarisk Company applies overhead based on direct labour hours. Two direct labour hours are required for each unit of product. Planned production for the period was set at 8,700 units. Manufacturing overhead is budgeted at $121,800 for the period (20% of this cost is fixed). The 16,760 hours worked during the period resulted in the production of 8,280 units. The variable manufacturing overhead cost incurred was $98,600 and the fixed manufacturing overhead cost was $28,500.

(c)

Calculate the fixed overhead budget (spending) variance for the period.

Fixed overhead budget variance $enter a dollar amount select an option Neither favourable nor unfavourableUnfavourableFavourable

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