[zeeulhassan]

In a subsequent 4 week period, Birch Co’s actual fixed costs were $3,500. There were 18,000 units
produced. The budgeted fixed costs was $3,000 based on budgeted production of 17,500 units.
Calculate the fixed production overhead total variance.
A. $440 (A)
B. $525 (A)
C. $500 (F)
D. $500 (A)
Sir answer is A.
Why the Fixed cost has been treated as Variable cost here?

[zeeulhassan]

Got it Sir, Thankyou
Are you talking about the lectures here in Open Tuition>?

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