FIXED OVERHEAD SPENDING AND VOLUME VARIANCES, COLUMNAR AND FORMULA APPROACHES A company provided the following information: Standard fixed overhead rate (SFOR) per direct labour hour Actual fixed overhead rate (AFOR) per direct labour hour Actual direct labour hours worked (AH) Actual production in units Standard hours allowed for actual units produced (SH) Required: I Using the columnar approach, calculate the fixed overhead spending and efficiency variances. 2. Marks 1 $7.00 $6.95 36,100 12,000 36,000 2. Using the formula approach, calculate the fixed overhead spending variance. 3 Marks 3. Using the formula approach, calculate the fixed overhead efficiency variance 3. Marks 4. Calculate the total fixed overhead variance. 2 Marks

FIXED OVERHEAD SPENDING AND VOLUME VARIANCES, COLUMNAR AND FORMULA APPROACHES Required: 1. Using the columnar approach, calculate the fixed overhead spending and efficiency variances. 2 Marks 2. Using the formula approach, calculate the fixed overhead spending variance. 3 Marks 3. Using the formula approach, calculate the fixed overhead efficiency vaniance 3 Marks 4. Calculate the total fixed overhead variance. 2 Marks