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A company's budgeted variable overheads for a period amounted to £24,000. During this period, the company spent £23,760 on variable overheads.
The company's level of production was expected to require 12,000 labour hours but the actual amount of labour hours used was only 10,800 hours.
Question 1: What was the variable overhead expenditure variance for the period?
Question 2: Calculate your answer to the nearest whole £ and enter it in the blank space provided.
Question 3: Indicate an adverse variance (if appropriate) by placing a minus sign in front of the value (e.g., -500).
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