[Solved] The formula for calculating the fixed overhead volume variance is:

McqMate

Q.	The formula for calculating the fixed overhead volume variance is:
A.	Budgeted fixed expenditure less (actual hours x actual production x fixed overhead absorption rate)
B.	Budgeted fixed expenditure less (actual hours x fixed overhead absorption rate)
C.	Actual fixed overhead less (standard hours x actual production x fixed overhead absorption rate)
D.	Budgeted fixed expenditure less (standard hours x actual production x fixed overhead expenditure variance)
Answer» D. Budgeted fixed expenditure less (standard hours x actual production x fixed overhead expenditure variance)

985

0

Do you find this helpful?

3

View all MCQs in

Cost Management

Discussion

No comments yet

Related MCQs

The formula for calculating the variable overhead total variance is:
An adverse material usage variance together with a favourable materials price variance could suggest that:
An adverse labour efficiency variance together with a favourable labour rate variance may mean that:
Calendar variance is the sub variance of ---------------
When calculating cost variances under a standard costing system we must:
Which of the following equations can be used to calculate a material price variance?
Who is most likely to be held responsible for a material price variance?
Which of the following equations can be used to calculate a material quantity variance?
To produce a particular batch of product, Falcon Corporation paid its workers 12.00 per hour for 4,000 hours of work. The standards for the quantity of work represented by the batch were 12.50 per hour and 4,400 hours. What was the labour efficiency variance?
The firm’s direct-labour rate variance was 4,800 unfavourable. Actual labour was 24,000 direct-labour hours, at a cost of 1,68,000, for 25,000 units of finished product that require 1 hour of direct labour each, at standard. What is the standard rate per direct-labour hour?