The production-volume variance of Lehman Plastic Company is $85,000 U.
Using this formula
Production-volume variance = Total variance - Spending variance
Where:
Total variance=$75,000
Spending variance=$10,000
Let plug in the formula
Production-volume variance = $75,000 - ($10,000)
Production-volume variance= $85,000 U
Inconclusion the production-volume variance of Lehman Plastic Company is $85,000 U.
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