Hayward Inc

Multiple Choice

Hayward Inc. Hayward Inc. produces a unique item. Hayward's management team wishes to perform a variance analysis on its fixed overhead. Fixed overhead is applied to units produced using direct labor hours as its cost driver. The company's managerial accountant has compiled the following information:
Refer to the Hayward Inc. information above. Hayward's fixed overhead volume variance is:

A) $5,000.
B) $2,000.
C) $3,000.
D) $2,500.