Solution Enterprises incurred $828,000 of fixed overhead during the period. During that same period, the company applied $845,000 of fixed overhead to production and reported an unfavorable budget variance of $41,000. How much was Solution's budgeted fixed overhead?
A) $787,000.
B) $804,000.
C) $869,000.
D) $886,000.
E) Not enough information to judge.

Question

Quizplus · Accepted Answer

Budgeted fixed overhead = Applied fixed overhead + Unfavorable budget variance= $845,000 + $41,000= $886,000

Solution Enterprises Incurred $828,000 of Fixed Overhead During the Period