[b] MAC Nov 09 [b]
jilt
Registered Posts: 2,903
task 2.1 (v) fixed overhead efficieny variance
Could anyone explain how you get the answer £400 fav please? I can't understand the workings shown in the answers.
Could anyone explain how you get the answer £400 fav please? I can't understand the workings shown in the answers.
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task 2.1 (v) fixed overhead efficieny variance
Could anyone explain how you get the answer £400 fav please? I can't understand the workings shown in the answers.
its 720hrs/18000unitsx17000 units = 680 standard hrs for actual production
then
680 (it should have taken)640(only took)= 40 hrs less time needed x overhead absorpbtion rate 10
40 x 10 = 400 favorable
Sorry a bit long winded but only way i can work it back0 
task 2.1 (v) fixed overhead efficieny variance
Could anyone explain how you get the answer £400 fav please? I can't understand the workings shown in the answers.
ANSWER
(17,000 units x 720 hours /18000 units  640 hours ) x £10 = 680 hours  640 hours
= 40 hours x 10 = £400 Favourable
Explanation
17000 x (720/18,000=0.04) gives you expected to work hours = 680 hours less 640 Actual hrs worked = 40 hours saved (Favourable) X £10 (OAR) = £400 FAVOURABLE
(720/18,000=0.04) gives you hours to produce per unit
x 17000 will give expected hours to produce 17000 units = 680 hours
we expected to work 680 hours but have manged to produce in 640 hours  SAVED 40 hours therefore EFFICIENT (FAVOURABLE)
40 Hours x £10 = £400 Favourable0 
Thanks Vic and SDV, I'd actually just managed to figure it out but not sure I'll remember next time though lol0

ANSWER
(17,000 units x 720 hours /18000 units  640 hours ) x £10 = 680 hours  640 hours
= 40 hours x 10 = £400 Favourable
Explanation
17000 x (720/18,000=0.04) gives you expected to work hours = 680 hours less 640 Actual hrs worked = 40 hours saved (Favourable) X £10 (OAR) = £400 FAVOURABLE
(720/18,000=0.04) gives you hours to produce per unit
x 17000 will give expected hours to produce 17000 units = 680 hours
we expected to work 680 hours but have manged to produce in 640 hours  SAVED 40 hours therefore EFFICIENT (FAVOURABLE)
40 Hours x £10 = £400 Favourable
ok his was more long winded but better0 
its 720hrs/18000unitsx17000 units = 680 standard hrs for actual production
then
680 (it should have taken)640(only took)= 40 hrs less time needed x overhead absorpbtion rate 10
40 x 10 = 400 favorable
Sorry a bit long winded but only way i can work it back
Sorry didn't realise you had already posted the explanation0 
Where can I find this past exam?
I checked on the MyAAT page under past MAC exams, but I can only see those from December 2006 to June 2009. Do you know where I could get my hands on the November (or December?) 2009 exam?
Thanks a million,
Sara0 
I checked on the MyAAT page under past MAC exams, but I can only see those from December 2006 to June 2009. Do you know where I could get my hands on the November (or December?) 2009 exam?
Thanks a million,
Sara
If you log in then look at the left hand side it says past exam papers try there0 
Thanks for this. How strange. I looked in the study zone frame under Diploma, then unit 33 and it doesn't come up there. This is great thought, I didn't know we had access to the NVQ exams too. How did I not notice this before?
Thanks again,
Sara0 
I didnt either for a whlie0
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