The following information was obtained from the records of a manufacturing unit using standard-costing system.

Standard

Actual

Working days (days)

20

21

Production (units)

4,000

3,000

Fixed overhead (Rs.)

40,000

39,000

Variable overhead (Rs.)

12,000

12,000

You are required to calculate the following overhead variances:

  1. Variable-overhead variance:
  2. Fixed-overhead variance:
    1. Expenditure variance
    2. Volume variance
    3. Efficiency variance
    4. Calendar variance
  3. Also prepare a reconciliation statement for the standard fixed expenses worked out at the standard fixed overhead rate and actual fixed overhead