Question Content Area

The following data is given for the Bahia Company:

Budgeted production (at 100% of normal capacity)	1,029 units
Actual production	926 units
Materials:
Standard price per pound	$1.82
Standard pounds per completed unit	11
Actual pounds purchased and used in production	9,880
Actual price paid for materials	$20,254
Labor:
Standard hourly labor rate	$14.76 per hour
Standard hours allowed per completed unit	4.9
Actual labor hours worked	4,768.9
Actual total labor costs	$72,726
Overhead:
Actual and budgeted fixed overhead	$1,077,000
Standard variable overhead rate	$25.00 per standard labor hour
Actual variable overhead costs	$133,529
Overhead is applied on standard labor hours.

Round your final answer to the nearest dollar. Do not round interim calculations.

The fixed factory overhead volume variance is

a. $107,805 unfavorable

b. $107,805 favorable

c. $20,094 unfavorable

d. $20,094 favorable