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14 December, 18:29

Shamrock manufacturing budgeted fixed overhead costs of? $2.75 per unit at an anticipated production level of? 1,350 units. in july shamrock incurred actual fixed overhead costs of? $4,400 and actually produced? 1,300 units. what is? shamrock's fixed overhead volume variance in? july?

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  1. 14 December, 20:01
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    We are asked to solve for the fixed budget variance given the Shamrock Manufacturing has the following values:

    Total Production Units = 1,350

    Overhead Cost per Unit = $2.75

    Actual Fixed Overhead Cost = $4,400

    Solving for Fixed Budget Variance (FBV), we have:

    FBV = Actual Fixed Overhead Cost - Total Production*Overhead Cost per Unit

    FBV = $4,400 - (1350 * $2.75)

    FBV = $687.50

    The answer is $687.50.
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