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A manufacturing company operates a standard absorption costing system. Last month 25,000 production hours were budgeted and the budgeted fixed production overhead cost was $125,000. Last month the actual hours worked were 24,000 and the standard hours for actual production were 27,000. What was the fixed production overhead capacity variance for last month? A. $10,000 Adverse B. $5,000 Favourable C. $5,000 Adverse D. $10,000 Favourable |