What type of variance results when the actual fixed overhead costs incurred are greater than the budgeted fixed overhead costs?
A)Favorable fixed overhead budget variance
B)Unfavorable fixed overhead budget variance
C)Favorable fixed overhead volume variance
D)Unfavorable fixed overhead volume variance

Question

Quizplus · Accepted Answer

An unfavorable fixed overhead budget variance occurs when actual costs are higher than budgeted costs. This indicates that the company did not plan or control its fixed overhead costs effectively.

What Type of Variance Results When the Actual Fixed Overhead