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Robert Inc

Question 62

Multiple Choice

Robert Inc.uses the standard costing method.The company's main product is a fine-quality headphones that normally takes 0.5 hour to produce.Normal annual capacity is 5,000 direct labor hours,and budgeted fixed overhead costs for the year were $8,750.During the year,the company produced and sold 5,800 units.Actual fixed overhead costs were $6,000.
-Using the information provided for Robert Inc,compute the fixed overhead volume variance.


A) $2,750 (F)
B) $925 (U)
C) $5,800 (U)
D) $3,675 (U)

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