If Rowe prepared an overhead cost performance report,which of these overhead variances is likely to be excluded from the report?
A)Variable-overhead spending variance.
B)Variable-overhead efficiency variance.
C)Fixed-overhead budget variance.
D)Fixed-overhead volume variance.
E)None of the variances would be excluded.

Question

Quizplus · Accepted Answer

The fixed-overhead volume variance is excluded from the overhead cost performance report because it is not controllable by the management. The variable-overhead spending variance and efficiency variance and the fixed-overhead budget variance are included in the report as they are controllable by management. Therefore, choice D is the best option.

If Rowe Prepared an Overhead Cost Performance Report,which of These