Which of the following statements about overhead variances is FALSE?
A)The difference between the budgeted fixed overhead and the fixed overhead applied is the volume variance.
B)Standard hours allowed are used in calculating the volume variance.
C)The spending variance pertains solely to fixed costs.
D)The total overhead variance pertains to both variable and fixed costs.

Question

Quizplus · Accepted Answer

The spending variance can pertain to both fixed and variable costs, not solely fixed costs.

Which of the Following Statements About Overhead Variances Is FALSE