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Bis Company reported:
Actual fixed overhead$500,000
Fixed manufacturing overhead spending variance $30,000 unfavorable
Fixed manufacturing production-volume variance $20,000 unfavorable
Problem 1: To record the write-off of these variances at the end of the accounting period, Bis would
Question options:
a) credit Fixed Factory Overhead for $500,000
b) debit Fixed Factory Overhead Spending Variance for $30,000
c) credit Production-Volume Variance for $20,000
d) debit Fixed Factory Overhead for $500,000
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