Estimate thre idle capacity variance

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Reference no: EM132655872

Attempt two parts A and B both (A)a. F.O.H rate = Estimated F.O.H Rs6,00,000Estimated Direct Labor Hours 200,000

A Company has made the following data available from its accounting records: = Rs.3 per DLH

b. 2/3rd of the above calculate rate is variable cost oriented.

C. During the year, the company worked 210,000 Direct Labor Hours and actual factory overhead expenditure were Rs.6, 31,000.

Required:

Question 1. The Spending variance

Question 2. Idle capacity Variance

Reference no: EM132655872

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