Trojan Company originally budgeted for $360,000 of fixed overhead. Production was budgeted to be 12,000 units. The standard hours for production were 5 hours per unit. The variable overhead rate was $3 per hour and the fixed overhead rate was $6 per hour. Actual fixed overhead was $360,000 and actual variable overhead was $170,000. Actual production was 11,700 units. Compute the factory overhead volume variance.
Answers: 3
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Trojan Company originally budgeted for $360,000 of fixed overhead. Production was budgeted to be 12,...
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