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A Fixed-Overhead Volume Variance Would Normally Arise When

Question 26

Multiple Choice

A fixed-overhead volume variance would normally arise when:


A) actual hours of activity coincide with actual units of production.
B) budgeted fixed overhead is less than (or greater than) applied fixed overhead.
C) there is a fixed-overhead budget variance.
D) actual fixed overhead exceeds budgeted fixed overheaD.
E) there is a variable-overhead efficiency variancE.
Overapplied overhead can also be the result of a budget variancE.

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