US CMA Part 1 · Chapter 3 · Question 12 of 30
Budgeted fixed manufacturing overhead was $150,000 and actual fixed manufacturing overhead was $156,000. What is the fixed overhead spending (budget) variance?
Test yourself: pick an answer
Reveal answer & explanation
Correct answer: A) $6,000 unfavorable
Explanation
Fixed overhead spending variance = actual fixed overhead - budgeted fixed overhead = $156,000 - $150,000 = $6,000 unfavorable. It is unaffected by the level of output.
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