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Fixed-overhead budget variance?
Fixed overhead budgeted variance is the difference between estimated budgeted cost and actual fixed overhead cost of production.
A favorable fixed overhead volume variance occurs if?
Favourable fixed overhead variance occurs when actual fixed cost is less than the budgeted fixed overhead expenses.
What are the causes for adverse overhead capacity variance?
Incurring higher fixed costs than were planned for in the budget can cause adverse overhead capacity variance. Other caused can include planning errors, inefficient management of fixed overheads, and business expansion that was not added to the budget.
13-48 overhead variances Calculate the Efficiency variances?
Overhead Variances 13-48 pg 62213-48 Overhead VariancesStudy Appendix 13. Consider the following data for the Rivera Company:Factory OverheadFixed VariableActual incurred $14,200 $13,300Budget for standard hours allowedfor output achieved 12,500 11,000Applied 11,600 11,000Budget for actual hours of input 12,500 11,400From the above information, fill in the blanks below. Be sure to mark your variances F for favorableand U for unfavorable.a. Flexible-budget variance $______ Fixed $______Variable $______b. Production-volume variance $______ Fixed $______Variable $______c. Spending variance $______ Fixed $______Variable $______d. Efficiency variance $______ Fixed $______Variable $______
Why a favorable fixed overhead expenditure variance might be reported?
The price variance might result from use of cheaper but inferior quality materials hence though it will be cheaper , the final product will be compromised .
What is the fixed manufacturing overhead budget variance equal to?
Fixed manufacturing overhead budget variance is?
Fixed-overhead budget variance?
Fixed overhead budgeted variance is the difference between estimated budgeted cost and actual fixed overhead cost of production.
A favorable fixed overhead volume variance occurs if?
Favourable fixed overhead variance occurs when actual fixed cost is less than the budgeted fixed overhead expenses.
What is combined overhead variance?
Combined overhead variance = fixed overhead variance + variable overhead varianceFixed Overhead :which remains fixed and donot change upto certain level of productionVariable Overhead: which keep changing with the change in production units.
What is the difference between variable overheads cost variance andfixed overheads cost variance?
Variable overhead cost variance is that variance which is in variable overheads costs between the standard cost and the actual variable cost WHILE fixed overheads cost variance is variance between standard fixed overhead cost and actual fixed overhead cost.
What is the meaning of fixed overhead total variances in an absorption costing system?
Fixed overhead variance means actual fixed overhead cost was more than it was actually budgeted before start of operations.
Is the materials price variance the least significant from a standpoint of cost control?
NO - Fixed Overhead Volume Variance
If the controllable overhead variance is favorable the overhead volume variance?
volume variance relates to Fixed cost absorption, where as controllable variances arise due difference in actual variable spending per activity measure.
What are the causes for adverse overhead capacity variance?
Incurring higher fixed costs than were planned for in the budget can cause adverse overhead capacity variance. Other caused can include planning errors, inefficient management of fixed overheads, and business expansion that was not added to the budget.
13-48 overhead variances Calculate the Efficiency variances?
Overhead Variances 13-48 pg 62213-48 Overhead VariancesStudy Appendix 13. Consider the following data for the Rivera Company:Factory OverheadFixed VariableActual incurred $14,200 $13,300Budget for standard hours allowedfor output achieved 12,500 11,000Applied 11,600 11,000Budget for actual hours of input 12,500 11,400From the above information, fill in the blanks below. Be sure to mark your variances F for favorableand U for unfavorable.a. Flexible-budget variance $______ Fixed $______Variable $______b. Production-volume variance $______ Fixed $______Variable $______c. Spending variance $______ Fixed $______Variable $______d. Efficiency variance $______ Fixed $______Variable $______
Why a favorable fixed overhead expenditure variance might be reported?
The price variance might result from use of cheaper but inferior quality materials hence though it will be cheaper , the final product will be compromised .
What is the difference between variable overhead cost variance and fixed overhead variance?
direct or indirect cost which increases or decreases with production are variable overheads such as, indirect material, indirect labor, utilities, maintenancd expansis etc. expansis which does not fluctuate with increase or decrease of production called fixed overheads such as rent, salaries, insurance, professional membership like ISO etc.
