The Oakleigh Company has the following information available for its production facility for the month of July. The budgeted activity level for fixed manufacturing overhead was estimated to be 48 000 machine hours for the production cycle. Actual machine hours for the period were 50 000, which resulted in the completion of 9900 units.

Material purchased (210 000 items)
$819 000

Material quantity variance
$39 600 U

Actual labour cost (15 000 hours)
$102 000

Machine hours used
50 000 machine hours

Variable overhead spending variance
$2 500 U

Actual fixed manufacturing overhead
$150 000


Oakleigh’s standard costs per unit are as follows:

Direct material
20 components @ $4 per item

Direct labour
1.5 hours @ $6 per hour

Variable overhead (applied on machine hour basis)
4.8 hours @ $2.50 per hour

Fixed overhead (applied on machine hour basis)
4.8 hours @ $3 per hour

The fixed overhead volume variance is ?