Asper Corporation has provided the following data for February. The volume variance for February is:
A) $17,300 U
B) $17,300 F
C) $6,920 F
D) $6,920 U

Question

Asper Corporation has provided the following data for February.  The volume variance for February is:
A) $17,300 U 
B) $17,300 F 
C) $6,920 F 
D) $6,920 U

Quizplus · Accepted Answer

Volume variance = Fixed component of the predetermined overhead rate × (Denominator hours − Standard hours allowed for the actual output)
= $34.60 per hour × (7,700 hours − 8,200 hours)
= $34.60 per hour × (−500 hours)
= $17,300 F

Asper Corporation Has Provided the Following Data for February