An unfavorable fixed factory overhead volume variance may be due to a failure of supervisors to maintain an even flow of work.

Question

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The fixed factory overhead volume variance occurs when the actual number of units produced during a period is different from the budgeted number of units produced. An unfavorable fixed factory overhead volume variance means that the actual number of units produced is less than the budgeted number. This can be caused by a failure of supervisors to maintain an even flow of work, leading to lower production volume than anticipated.

An Unfavorable Fixed Factory Overhead Volume Variance May Be Due