Reference no: EM133020917

QUESTION - Shani Ltd manufactures product C1009T and provides the following information for the last month:

Budgeted figures:

Variable manufacturing overheads R20,000

Fixed manufacturing overheads R48,000

Labour hours 4,000

Expected production 1,000 units

Actual results:

Variable manufacturing overheads R19,135

Fixed manufacturing overheads R49,880

Labour hours worked 4,300

Actual production 1,050 units

Required - 1 Calculate each of the following variable manufacturing overheads variances:

1.1 Efficiency variance

1.2 Expenditure variance

1.3 Total variable overheads variance

2. Calculate each of the following fixed manufacturing overheads variances:

2.1 Expenditure variance

2.2 Volume variance

2.3 Total fixed overheads variance