# Calculation of Standard Overhead Rate

Variable overhead rate variance is the product of actual units of the distribution base of variable overhead and the difference between standard variable overhead rate and actual variable overhead rate. The formula to calculate the variable overhead rate variance is:

VOH rate Variance = (standard variable − actual variable) × actual units

Factory Overhead Volume Variance: Learning Objective of the article: Define and explain factory overhead volume variance. How is FOH volume variance calculated? Contents: Definition Formula Example Definition: Factory overhead volume variance represents the difference between the budget allowance and the standard expenses charged to

Variable Overhead Efficiency Variance: Learning Objective of the article: Define and explain variable overhead efficiency variance. How is variable overhead efficiency variance calculated? What are the reasons / causes of unfavorable variable overhead efficiency variance. When companies adopt four variance analysis approach they divide

Factory Overhead Idle Capacity Variance: Learning Objective of the article: Define and explain factory overhead idle capacity variance. How is FOH idle capacity variance calculated? What are the reasons of unfavorable idle capacity variance Definition and Explanation: Factory overhead idle capacity variance is the