The formula for computing overheads efficiency variance is —

CS Executive · Cost and Management Accounting · PYQS · June 2016
The formula for computing overheads efficiency variance is —
(A) Absorbed overheads - Standard overheads
(B) Standard overheads - Revised budgeted overheads
(C) Absorbed overheads - Budgeted overheads
(D) Absorbed overheads - Actual overheads.

Answer & Explanation:

Correct Answer: Option (A)

Official answer key: (A).

Topics: Overhead Costing

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