Fixed Overhead Variances SIMPLIFED | For ACCA MA Students | Specimen exam question #22

[@bradleysarre498]

Honestly a life-saver.. you've made this so much more simple than my textbook! Thanks a bunch :)

[@SteveWillisACCA]

Glad it helped!

[@SanjayGupta2808]

Where does volume variance fit in your diagram pls, 10:09, onwards pls? Pls could you add that as well to complete the picture for us? Thank you.

[@kiragorbunova8510]

Thanks for that. Could I take OB like BqSp? I am fascinated with your way of explanation material. More teaches like you are needed in ACCA world. My respect.

[@SteveWillisACCA]

Interesting idea! I prefer keep that as 'original budget' as there is no real link to quantity and if your doing marginal costing, you will just plug that figure in anyway. Thank you for the kind words! good luck on your exam :)

[@prathmeshdhurat]

Like this straight forward explanation.

[@SteveWillisACCA]

Glad you found it helpful :)

[@brunojurado8942]

muchisimas Gracias mi cabecita de rodilla, De verdad me ayudaste

[@binladin1043]

thank u very much ...wish u good luck \in ur future enedeavours

[@SteveWillisACCA]

Thank you!

[@rvinjemna]

HI VERY HELPFUL

[@floregbadie2815]

Thanks a lot Steve!

[@SteveWillisACCA]

Very welcome!

[@fidhamanaal33]

can i use this video for the referance for my acca eam of 2022-2023

[@SteveWillisACCA]

Yes. Good luck!

[@fidhamanaal33]

@@SteveWillisACCA thank you

[@tawandasamson3978]

Yes😊

[@_Peace_7_]

@@tawandasamson3978 are you clear ma

[@nwharrisburg]

Excellent!! Thank you!!!!!!

[@SteveWillisACCA]

Hi there--glad it helped :)

[@HaroonHussain-o5o]

Sir, what if it asked us for fixed overhead volume variance? Not going to lie this is the most confusing part of the whole MA exam for me, I'm quite comfy with the entire syllabus apart from variances! They make me want to pull my hair out! But seeing this video has already made me feel 90% better haha Thanks!

[@SteveWillisACCA]

I feel your pain! I didn't understand it either when I first had to learn it. Fixed overhead VOLUME is Origical Budget ---> SQSP. The far right, skipping over AQSP, to Original Budget.

[@ishmaelitayidongo2537]

Thanks Sir im so grateful😆

[@SteveWillisACCA]

Always welcome

[@roseb.5367]

Wrote a test today... well i only got my name correct for sure, the rest... i read the question over and over, tried to figure out which numbers go were...

[@davidverweij1234]

Nice!!

[@SteveWillisACCA]

Thanks!

[@Gioinovative]

brilliance thnks alot

[@SteveWillisACCA]

Most welcome :)

[@IK-do6gi]

Why wouldn't we just use the form given on ACCA website: Actual exp - X Less: Budgeted exp - (X) Fixed overhead prod-n X so it will be: Actual exp: (125000/25000)*24000= 120,000 Budg exp: -125,000 Fixed overhead: 5,000 Fav Could you please take a look

[@SteveWillisACCA]

You can do it that way, just harder to memorize in my opinion. In PM you'll need to know how to do about 15 variances--a system is better, IMHO.

[@IK-do6gi]

Thank you for the response. The only question - with the method I used above I got the answer 5,000 Fav, but you got 5,000 Adverse - where is my mistake?@@SteveWillisACCA

[@tawandasamson3978]

Thank u

[@SteveWillisACCA]

You're welcome :)