In this series, Academic Expert Carol Sargent introduces us to Fixed Overhead Variances, the final section of her Budgeting Super-Series. Carol explains how there are no established standards to operate by for fixed overhead variances. The two variances to work within are the spending variance and the volume variance, and Carol provides a more comprehensive understanding of these two components.
In this series: 3 Videos | 00:16:25 Total Length
In this first video, fixed overheard variance is defined and two differing variances are identified, including how standard affect these variances.
A word problem is presented with a step-by-step solution.
Another word problem is solved and FOH is summarized.