Question: DEF Inc budgets $40 per unit for variable manufacturing overhead and $100,000 per month for fixed manufacturing overhead. During July, the company produced 4,000 units

DEF Inc budgets $40 per unit for variable manufacturing overhead and $100,000 per month for fixed manufacturing overhead. During July, the company produced 4,000 units and incurred actual variable overhead costs of $120,000 and actual fixed overhead costs of $95,000. Calculate the total overhead variance and break it down into variable and fixed overhead variances.

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