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So this is how i did it. Long but easy too understand i will say
first lets suppose budgeted overhead is x.
As question suggestion actual expenditure is 2% less than budget
which will gives us :- actual overhead = x – 2%x
now, when the overhead cost lower than what we’ve expected, that would certainly means it is good for us so a positive figure for that
so finally we can work it out this from
budgeted FOH – actual FOH = 1250
which again is : x-x-2%x=1250
