The overhead cost variances , Cost Accounting

Assignment Help:

The following facts have been extracted from the standard cost card for product X: 
   
                                                                                                       Rs./unit    
      Variable overhead
          4 machine hours @ Rs.8.00/hour                                               32.00
        2 labour hours @ Rs. 4.00/ hour                                                  8.00
        Fixed overhead                                                                         20.00
 During  October  20X7,  5,450  units  of  the  product  were  made  compared  with  a  budgeted production target of 5,500 units. The actual overhead costs incurred were: 
                
                                                                                                              Rs.

        Machine-related variable overhead                                                 176,000
        Labour-related variable overhead                                                   42,000
        Fixed overhead                                                                           109,000
 
The original number of machine hours was 22,000 and the real number of labour hours was
10,800. 
 
 Requirements: 
(a)    Measure  the  overhead  cost  variances  in  as much  detail  as  possible  from  the  data given
(b)    Describe  the meaning  of,  and  discuss  the  variable  overhead  variances  that  you have calculated.  .  


Related Discussions:- The overhead cost variances

Marginal and absorption costing, on june 2005 20 units of the product in st...

on june 2005 20 units of the product in stock the following is extracted from the companys books direct material-200 per unit,direct labour 150 per unit, variable production overhe

Pv ratio, Do I use the contribution per unit and the total sales for the de...

Do I use the contribution per unit and the total sales for the department in order to calculate the p/v ratio for a department

Variance analysis, Variance Analysis This section describes how labour...

Variance Analysis This section describes how labour, material and overhead variances are calculated and what causes every of those variances. A chart is given also to describe

What are total fixed cost, Corporation has determined the contribution marg...

Corporation has determined the contribution margin ratio is 35% and the income tax rate is 40%. Required: A) Assume break-even volume in dollars is $1,500,000. What are total fixed

Depreciate assets, Are non-profit and governments required to depreciate as...

Are non-profit and governments required to depreciate assets? Why or why not? Would it make sense for them to use double declining balance? Is there a difference between a non-p

Match the item below by entering the appropriate code letter, Match the ite...

Match the items below by entering the appropriate code letter A. Controller B. Deficit C. Payout Ratio D. Stock Dividend E. Declaration Date F. Preemptive right G. Par Value H. L

Features and procedures of job costing, Features and Procedures of Job cost...

Features and Procedures of Job costing Features of Job costing Product is against the customer's order and not on job stocks. Every job has its own characteristics and ne

Principles of marginal costing, Principles of Marginal Costing The pri...

Principles of Marginal Costing The principles of marginal costing are as given: 1. Period fixed costs are similar, for any volume of sales and production provided suc

Why different countries have different accounting standards, As a potential...

As a potential investor, what is the problem with different countries having different accounting standards? As the president of a multinational company, what is the problem with

Tax bracket, You want to save $40,000 for a down payment on a new home. You...

You want to save $40,000 for a down payment on a new home. You expect to save $7,000 per year, be in the 25% tax bracket and hope to earn 4% on your investments. How long (in mon

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd