A favorable overhead spending variance means that _____?

ایک سازگار اوور ہیڈ اخراجات میں فرق کا مطلب ہے کہ _____؟

Actual overhead costs were less than the budgeted overhead costs. has been under applied

Overhead has been under applied

Actual production was less than the normal volume of output

None of these

Explanation

A favorable overhead spending variance occurs when actual overhead costs are lower than the budgeted or expected costs, meaning the company spent less than planned.

This indicates efficient cost control in managing overhead expenses, leading to potential savings.