05-27-2004, 12:55 AM

I am facing difficulty in solving the following problem if some one

knows the proper solution kindly post to the group forum.

question

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The following information is available about an organization and its

products.

Budgeted fixed overhead Â£150,000

Budgeted number of units of product A 4,000

Budgeted number of units of product B 7,000

Standerd hours for production of a unit of A 2

Standerd hours for production of a unit of B 1

Actual overhead Â£154,000

Actual hours worked 14,000

Actual units produced A 3,600

Actual units prodused B 7,500

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Required

(a) Calculate the total overhead variance.

(b) Calculate the expenditure and volume varainces

---------------------------------------------------------------------

Regards,

Zain

knows the proper solution kindly post to the group forum.

question

--------

The following information is available about an organization and its

products.

Budgeted fixed overhead Â£150,000

Budgeted number of units of product A 4,000

Budgeted number of units of product B 7,000

Standerd hours for production of a unit of A 2

Standerd hours for production of a unit of B 1

Actual overhead Â£154,000

Actual hours worked 14,000

Actual units produced A 3,600

Actual units prodused B 7,500

---------------------------------------------------------------------

Required

(a) Calculate the total overhead variance.

(b) Calculate the expenditure and volume varainces

---------------------------------------------------------------------

Regards,

Zain