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Fixed Overhead Spending and Volume Variances, Columnar and Formula Approaches Branch Company provided the following information: Standard fixed overhead rate (SFOR) per direct labor hour
Fixed Overhead Spending and Volume Variances, Columnar and Formula Approaches
Branch Company provided the following information:
Standard fixed overhead rate (SFOR) per direct labor hour | $5.00 | ||
Actual fixed overhead | $305,000 | ||
BFOH | $300,000 | ||
Actual production in units | 16,000 | ||
Standard hours allowed for actual units produced (SH) | 64,000 |
Required
Enter amounts as positive numbers and select Favorable (F) or Unfavorable(U).
1. Using the columnar approach, calculate the fixed overhead spending and volume variances.
(1) | (2) | (3) |
Spending | Volume |
2. Using the formula approach, calculate the fixed overhead spending variance.
$
3. Using the formula approach, calculate the fixed overhead volume variance.
$
4. Calculate the total fixed overhead variance.
$
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