2012年ACCA考试辅导：Paper1.2考官谈备考5

　　Relevant to: Paper 1.2

　　Section B

　　Question 4

　　This question examined standard costing and variances. In part (a) the requirement was to produce a statement that reconciled the standard cost of actual production with the actual cost and highlighted the total variances for the three cost elements involved. This part of the question was well answered although many candidates only calculated the three variances and did not go on to produce the reconciliation statement. Common errors included:

　　Failure to indicate clearly whether each variance was favourable or adverse. Candidates should realise that simply bracketing some variances and not others does not clearly indicate this.

　　Producing variances that compared actual costs with the budgeted costs.

　　Part (b), which was not answered well, required candidates to break the total fixed production overhead cost variance they had calculated in part (a) into two sub variances. This involved the calculation of an expenditure and a volume variance. Common errors included:

　　Having two variances that did not net back to the total variance already calculated in part (a).

　　Having an expenditure variance which was the same as the total variance calculated in part (a).

　　Having an adverse volume variance where clearly the information given in the question indicated a favourable situation (actual production was higher than that budgeted).

　　Incorrectly labelling the sub variances calculated.

　　Trying to calculate capacity and efficiency variances where there was insufficient information available to do so. In any case, these would produce a subdivision of the volume variance and not the total variance.

　　Part (c) required an explanation of how and why the variances calculated in part (a) under standard absorption costing would be different if standard marginal costing had been in use. No calculations were required. Many candidates correctly stated that the direct materials and direct labour variances would be unchanged but were much more vague about the fixed production overhead variance. Common errors included:

　　Stating that there would be no fixed production overhead variance under marginal costing.

　　Writing, at length, about how the profit calculated under the two costing principles could be different. This was irrelevant to the question asked and received no credit.

　　Ignoring the part of the requirement that asked for an explanation of why any variances would be different.