The production volume variance is the difference between ________.
A) expected fixed overhead costs and actual fixed overhead costs
B) expected fixed overhead costs and budgeted fixed overhead costs
C) budgeted fixed overhead costs and actual fixed overhead costs
D) budgeted fixed overhead costs and applied fixed overhead costs

Question

Quizplus · Accepted Answer

The production volume variance is calculated as the difference between the budgeted fixed overhead costs and the applied fixed overhead costs. This variance measures the efficiency in the utilization of production capacity.

The Production Volume Variance Is the Difference Between ________