Merone Corporation Applies Manufacturing Overhead to Products on the Basis

Multiple Choice

Merone Corporation applies manufacturing overhead to products on the basis of standard machine-hours.The company bases its predetermined overhead rate on 2,300 machine-hours.The company's total budgeted fixed manufacturing overhead is $5,060.In the most recent month,the total actual fixed manufacturing overhead was $4,660.The company actually worked 2,200 machine-hours during the month.The standard hours allowed for the actual output of the month totaled 2,320 machine-hours.What was the overall fixed manufacturing overhead volume variance for the month?

A) $220 Unfavorable
B) $400 Favorable
C) $44 Favorable
D) $220 Favorable