The management of Drum Lawnmowers has calculated the following variances
Direct materials cost variance $10,000 U
Direct materials efficiency variance 35,000 F
Direct labor cost variance 16,000 F
Direct labor efficiency variance 12,000 U
Variable overhead cost variance 3,000 F
Variable overhead efficiency variance 6,500 F
Fixed overhead cost variance 4,000 F
When determining the total production cost flexible budget variance, what is the total fixed overhead variance of the company?
A) $6,500 F
B) $4,000 F
C) $10,500 F
D) $5,500 F
B .B)
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