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What would the spending variance be for the total

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Question 1: The Battaglia Co. produces lounge chairs. At a budgeted amount of 10,000 lounge chairs the manufacturing overhead is $50,000 variable and $135,000 fixed. If Battaglia had actual variable manufacturing overhead of $60,500 and actual fixed manufacturing overhead of $125,000 for 11,000 lounge chairs produced, what would the spending (flexible budget) variance be for the total manufacturing overhead?

Option A. $500 unfavorable

Option B. $4,500 unfavorable

Option C. $4,500 favorable

Option D. $500 favorable

 

Reference no: EM132505500

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