The fixed factory overhead volume variance is

A) $73,250 unfavorable
B) $73,250 favorable
C) $59,400 favorable
D) $59,400 unfavorable

The fixed factory overhead volume variance measures the difference between the budgeted fixed factory overhead costs and the fixed factory overhead costs that were actually incurred, based on the difference between the standard labor hours allowed for actual production and the standard labor hours that were originally budgeted. The formula for fixed factory overhead volume variance is:
Fixed factory overhead volume variance = (Budgeted fixed factory overhead / Budgeted standard labor hours) x (Actual standard labor hours - Budgeted standard labor hours)

Given data:
Budgeted fixed factory overhead = $594,000
Budgeted standard labor hours = 99,000
Actual standard labor hours = 93,600
Therefore,

Fixed factory overhead volume variance = ($594,000 / 99,000) x (93,600 - 99,000) = $(3,600) x (-5,400) = $19,4400 unfavorable.

This variance represents the excess of fixed factory overhead costs incurred over the budgeted amount due to lower production levels than anticipated. Therefore, the correct choice is C, which is the closest option to the calculated answer. Neither A nor B correctly represents the actual unfavorable variance amount, while D is the opposite of the actual variance direction (it's unfavorable, not favorable).