What are the two variances for fixed overhead?
A)budget and efficiency
B)efficiency and usage
C)volume and spending
D)usage and volume

Question

Quizplus · Accepted Answer

The two variances for fixed overhead are volume variance and spending variance. The volume variance measures the difference between actual fixed overhead and budgeted fixed overhead based on actual output. The spending variance measures the difference between actual fixed overhead and budgeted fixed overhead based on budgeted output. Therefore, option C is the correct choice.

What Are the Two Variances for Fixed Overhead