A company budgeted to produce and sell 850 units. Direct materials 1.6kg/unit and $10/kg Direct labour 2hours/unit and $5/hour variable overhead absorption $3.8 per direct labour hour. Fixed overheads absorption rate $4.50 per direct labour hour based upon budgeted production. Actual performance for the last period was as follows: (1) 800 units were produced (2) 1,750 direct labour hours were worked. (3) Fixed overheads incurred were $7,240 (4) Variable overheads were $6,600 calculate fixed overheads volume variance. My answer for this was 450 adverse but the one given in the solution is 635 favourable. Please help me and thank you.