The following information is available for Baxter Manufacturing for April: Actual machine hours 840 Standard machine hours allowed 900 Denominator activity (machine hours) 1,000 Actual fixed overhead costs$3,800 Budgeted fixed overhead costs$4,000 Predetermined overhead rate ($1 variable + $4 fixed)$5 What is the fixed overhead price (spending) variance for April?
A. $200.
B. $300.
C. $240.
D. $400.
Answer: A
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