Problem
Midoriya Company provides the following production data:
Total standard overhead cost per unit of product: 4 hours at P 3.00 per hour = P 12.00 per unit
Budgeted fixed factory overhead P 20,000
Normal production 2,500 units
Actual production 2,000 units
Actual hours 7,500 hours
Actual factory overhead incurred (75% fixed) P 26,000
Task: Determine the following the Variable FOH Variance and the Fixed FOH Variance