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The standard costs and actual costs for factory overhead for the manufacture of 2,500units of actual production are as follows:
Standard Costs | Line Item Description | Value |
| Fixed overhead (based on 10,000 hours) | 3 hours per unit at $0.71 per hour |
| Variable overhead | 3 hours per unit at $1.95 per hour |
Actual Costs Total variable cost, $18,000 Total fixed cost, $7,800
The total factory overhead cost variance is
a.$5,150 favorable
b.$5,150 unfavorable
c.$6,925 favorable
d.$3,375 unfavorable
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