The data of Hill processing company for the months of June, July and August

2019 is as under:-

Data of June 2019

Idle capacity variance Zero

Spending variance Rs. 3,000 Dr.

Actual FOH Rs. 35,000

Output 4,000 tons

Data of July 2019

Idle capacity variance Rs. 4,000 Dr.

Spending variance Zero

Actual FOH Rs. 28,000

Output 3,000 tons

Data of August 2019

Actual FOH Rs. 35,500

Output 4,500 tons

*Note: While calculating Fixed Factory Overhead & Fixed Rate, only High

activity level will be taken into consideration.

Required:

1) Budgeted Factory Overhead for capacity attained of 4,500 tons.

2) Applied Factory Overhead in August 2019.

3) Budgeted variance and Volume variance for August 2019.