Calculate the fixed overhead spending variance

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H&X Co. uses a standard job cost system with a normal capacity of 26,900 direct labour hours. H&X Co. produces 13,000 units, which cost $196,800 for direct labour (24,600 hours), $29,640 for variable overhead, and $149,500 for fixed overhead. The standard variable overhead per unit is $2 (2 hours at $1 per hour), and the standard fixed overhead per unit is $10.30 (2 hours at $5.15 per hour).

Question 1: Calculate the fixed overhead spending (budget) variance.

Reference no: EM132515154

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