Welcome to our center
RSS
Success stories
RECENT POST
About
Blogger news
Blogroll
-
CA GAAP BRIGHT: Amendment for CA-Final May,2014 Examination
-
CA Munish Bhandari sir has given completed details related to Amendment Please find below the link. https://onedrive.live....
-
Question 1: The following information has been extracted from the books of Goru Enterprises which is using standard costing system: ...
Blogger templates
Powered by Blogger.
Followers
Blog Archive
Contact details
Kolkata -6
Monday 25 May 2015
New topics / Change Topics / New Point In AMA Incorporated in CA SANJAY AGGRWAL Sir New Classes
Monday 13 April 2015
Motivational Speech by CA Sanjay Aggarwal
Wednesday 1 April 2015
SPECIAL MESSAGE FOR CA FINAL COSTING & OR (AMA) BY CA SANJAY AGGARWAL
Dear students, some changes have been come into effect since last two years , so while preparing for exams for November 2015 onwards, these changes are relevant as these changes have been incorporated in RTP (issued by ICAI), practice manual and mock test papers of ICAI.
Thursday 5 March 2015
STANDRAD COSTING UNSOLVED QUESTIONS IN THE CLASS_Solved_Question
Question 1: The following
information has been extracted from the books of Goru Enterprises which is
using standard costing system:
Actual output
|
= 9,000
units
|
Direct wages paid
|
=
1,10,000 hours at ` 22 per hour, of which 5,000
hours, being idle time, were not recorded in production
|
Standard hours
|
= 10
hours per unit
|
Labour efficiency variance
|
= `
3,75,000 (A)
|
Standard variable Overhead
|
= `
150 per unit
|
Actual Variable Overhead
|
= `
16,00,000
|
You are required to calculate:
(i) Idle time variance.
(ii) Total variable overhead variance.
(iii) Variable overhead expenditure variance.
(iv) Variable overhead efficiency variance. (ICAI)
Solution:-
Basic Workings
Actual
Output
|
9,000
units
|
Idle
Time
|
5,000
hrs
|
Production
Time(Actual)
|
1,05,000
hrs
|
Standard
Hours for Actual Production
|
90,000
hurs
|
(10
hours/unit X 9,000 units)
|
|
Labour
efficiency variance
=
3,75,000(A)
=
Std.Rate
|
=Standard
cost of Standard Time for Actual Production – Standard Cost of Actual Time
OR
=Std.
Rate X(Std. Hours –Actual Hours Worked)
=Std.
Rate X (90,000 hrs – 1,05,000 hrs)
= ` 25
|
Standard
Variable Overhead
|
= ` 150/umit
|
Standard
Hours
|
= 10
hrs/unit
|
Standard
Variable Overhead Rate/hr
|
=`150/ 10 hrs
|
=` 15/hr
|
Computation of Requirements
(i)
Idle Time variance
|
=
Standard Rate per Hour X actual idle Hours
=` 25 X 5,000Hrs.
=
1,25,000(A)
|
(ii) Total Variable Overhead Variance
|
Standard
Variable Overhead for Production- Actual Variable Overheads.
=`15X(10hrs X 9,000 units) -16,00,000
= ` 13,50,000 - ` 16,00,000
= ` 2,50,000(A)
|
(iii) Variable Overhead Expenditure Variance
|
=Budgeted
Overheads for Actual Hours worked –Actual variable Overheads
= `15 X 1,05,000 hrs - `16,00,000
= `15,75,000 - `16,00,000
= `25,000(A)
|
(iv) Variable Overhead Efficiency Variance
|
=Standard
Variable Overhead for output-Budgeted Overheads for Actual Hours
OR
=
Standard Rate per hour X (Standard Hours for actual Output-Actual Hours
Worked)
= ` 15 X (90,000 hrs – 1,05,000 hrs)
= ` 2,25,000(A)
|
Ø
Overheads can also be affected by
idle time. IT is usually assume that overheads expenditure is incurred in
active hours only.
Friday 20 February 2015
FINAL - Indirect Tax Laws (Amendment Class) Complete Live Lecture + Books + Question Bank
Wednesday 18 February 2015
CA FINAL IDT Rapid Revision Classes
Saturday 14 February 2015
CA Final IDT Latest Notes Amendment Applicable May 2015
Wednesday 28 January 2015
SANJAY SIR COSTING & OR DEMO DEMO
Monday 26 January 2015
Happy Republic Day 2015! India is celebrating the 66th Republic Day
Tuesday 20 January 2015
CA IPCC Final Exam Time Table May 2015
Monday 19 January 2015
Schedule of Fast Track Batches of Costing_(AMA)_Applicable May_2015_Join Fast Track Revision Batch for CA Final Cost OR by CA Sanjay Aggarwal
Saturday 10 January 2015
CA Final IDT Amendment Applicable May 2015
Subscribe to:
Posts
(Atom)