If capacity variance is ₹48,000 (F) and calendar variance is ₹23,040 (A), the fixed overheads volume variance is:
CS Executive · Cost and Management Accounting · PYQS · December 2014
If capacity variance is ₹48,000 (F) and calendar variance is ₹23,040 (A), the fixed overheads volume variance is:
Answer & Explanation:
Correct Answer: Option (A)
Correct answer: (A) ₹24,960 (F). Combining the supplied favourable capacity and adverse calendar variances gives 48,000−23,040 = 24,960 favourable, with no separate efficiency variance specified.
Topics: Standard Costing
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