The total cost variance is ₹5,000 (F). The material variance is ₹2,000 (F). The total labour variance is twice the total overheads variance. The total overheads variance is —

CS Executive · Cost and Management Accounting · PYQS · December 2016
The total cost variance is ₹5,000 (F). The material variance is ₹2,000 (F). The total labour variance is twice the total overheads variance. The total overheads variance is —
(A) ₹500 (F)
(B) ₹1,000 (F)
(C) ₹1,500 (F)
(D) ₹2,000 (F).

Answer & Explanation:

Correct Answer: Option (B)

Official answer key: (B).

Topics: Cost Accounting

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