Answer:
$1,287 unfavorable
Explanation:
According to the scenario, computation of the given data are as follow:-
But before that we need to calculate the following things
Total Budgeted Fixed Cost
= Supervision Fixed Cost + Utilities Fixed Cost + Factory Depreciation Fixed Cost
= $15,510 + $14,800 + $59,780
= $90,090
Budgeted Fixed Manufacturing Overhead Rate
= Total Budgeted Fixed Cost ÷ Original Budgeted Machine Hours
= $90,090 ÷ 7,700 hours
= $11.7
Based on the above calculation, the overall fixed manufacturing overhead volume variance is
= Budgeted Fixed Manufacturing Overhead Rate × (Original Budgeted Machine Hours - Actual Output of Month Totaled)
= $11.7 × (7,700 hours - 7,590 hours)
= $11.7 × 110
= $1,287 unfavorable
According to the analysis, the overall fixed manufacturing overhead volume variance for the month is $1,287
