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Fixed Overhead Was Budgeted at $250,000, and 25,000 Direct Labour

Question 50

Multiple Choice

Fixed overhead was budgeted at $250,000, and 25,000 direct labour hours were budgeted. Suppose the fixed overhead volume variance was $10,000 favourable and the fixed overhead spending variance was $6,000 unfavourable. How much fixed overhead was applied?


A) $194,000
B) $202,000
C) $206,000
D) $260,000

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