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question 49
which of the following is used to calculate the fixed overhead volume variance?
a actual fixed overhead - applied fixed overhead
b mixed overhead - variable overhead
c budgeted fixed overhead - applied fixed overhead
d fixed overhead - variable overhead
question 50
james company manufactures t - shirts. during the year, it manufactured 250,000 t - shirts, using 2 hours of d $8.50 per hour. the materials and labor standards for manufacturing the t - shirts are as follows:
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The fixed - overhead volume variance is calculated as Budgeted Fixed Overhead minus Applied Fixed Overhead. This variance measures the difference between the budgeted fixed overhead based on the planned level of activity and the fixed overhead applied to production based on the actual level of activity.
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C. Budgeted Fixed Overhead - Applied Fixed Overhead