The ACCA Learning Community
Home
312 online now in this group

Please help me with the question on standard costing and show me how you have got the answer. Thank You.

0 Votes
Please help me with the question on standard costing and show me how you have got the answer. Thank You.

The following details relate to product T which has a selling price of $44.00
$/unit
Direct materials 15.00
Direct labour(3hours) 12.00
Variable overhead 6.00
Fixed overhead 4.00

During April 20X6 the actual production of T was 800 units which was 100 units fewer than the budgeted. The budget shows an annual production target of 10800 with fixed costs accuring at a constant rate throughout the year. Actual overhead expenditure totalled $8500 for April 20X6.
Overheads are absorbed on the basis produced.

What were the overhead expenditure and volume variance?

May 18th 2015 AN ACCA USER 160 Points

Please log in or register to reply to this question.

...