Please include formula's

B D E F G H 1 K L N 0 o R Problem 3: Overhead Costs Variances Jailene Inc. has provided the following information: Formulae: Variable FOH Controllable variance = Actual Variable FOH costs - Budgeted Variable FOH costs Budgeted Variable FOH costs = Standard Variable FOH rate x Standard hours for Actual Production Standard Factory overhead rate (FOH) of which Variable FOH and Fixed FOH Normal capacity at 100% is: $10.00 per DLH $8.00 per DLH $2.00 per DLH 30,000 DLH Fixed FOH Volume Variance = (Standard hours at 100% of normal capacity - Standard hours for Actual production) x Standard Fixed FOH Rate Total FOH Variance = Variable FOH controllable variance + Fixed FOH Volume variance $60,000 The standard cost and the actual cost of factory overhead for the production of 5,000 units during May were as follows: Standard hours at 100% of normal capacity 30,000 Standard hours for actual production 25,000 Standard total FOH cost (25,000 hours $10 per hour) $250,000 4 Actual Variable FOH costs $202,500 Actual Fixed FOH costs 6 7 Required: 3 . A. Calculate Variable FOH Controllable variance. B. Calculate Fixed FOH Volume variance. C. Calculate the total FOH variance. . 1 2 Solution: 3 A. Variable FOH Controllable variance: Actual Variable FOH costs Budgeted Variable FOH costs Variable FOH Controllable variance: 7 B B. Fixed FOH Volume variance . 1 C. Total FOH cost variance 31 14