Question 1

Jimbob Co.uses flexible budgeting to control overhead costs.Its budgeted variable overhead costs per machine hour are as follows:

Accepted Answer

@#IMG-DLM& 
Additionally the company estimates fix

Question 2

If a company using a flexible budget has a sales revenue variance,the variance results solely from differences in budgeted versus actual selling prices.

Accepted Answer

A) True 
 B)False

Question 3

What is the materials quantity variance for the month?

Accepted Answer

A)  $1,260 U. 
B)  $1,309 U. 
C)  $10,800 U. 
D)  $11,220 U. 
A)  $1,260 U. 
B)  $1,309 U. 
C)  $10,800 U. 
D)  $11,220 U.

Question 4

The materials price variance for January is:

Accepted Answer

A)  $1,300 U. 
B)  $1,640 U. 
C)  $1,640 F. 
D)  $1,700 F. 
A)  $1,300 U. 
B)  $1,640 U. 
C)  $1,640 F. 
D)  $1,700 F.

Question 5

The following labour standards have been established for a particular product:   The following data pertain to operations concerning the product for the last month:   What is the labour efficiency variance for the month?

Accepted Answer

A)  $19,017 F. 
B)  $19,017 U. 
C)  $16,029 F. 
D)  $16,577 F. 
A)  $19,017 F. 
B)  $19,017 U. 
C)  $16,029 F. 
D)  $16,577 F.

Question 6

The flexible budget variance is the difference between the actual results and the flexible-budget amount for the actual levels of the revenue and cost drivers.

Accepted Answer

A) True 
 B)False

Question 7

One cause of an unfavourable overhead volume variance would be increases in cost for fixed overhead items.

Accepted Answer

A) True 
 B)False

Question 8

Andy Inc.is a business using a standard costing system and applying overhead cost based on direct labour-hours.For April,total fixed overhead cost was budgeted at $80,000 based on a denominator activity level of 20,000 direct labour-hours for the month.The standard cost card indicates that each unit of finished product requires 2 direct labour-hours.The following data are available for April's activity:   What amount of total overhead cost would have been applied to production for the month of April?

Accepted Answer

A)  $76,000. 
B)  $78,000. 
C)  $79,500. 
D)  $80,000. 
A)  $76,000. 
B)  $78,000. 
C)  $79,500. 
D)  $80,000.

Question 9

The materials quantity variance is:

Accepted Answer

A)  $1,120 U. 
B)  $1,120 F. 
C)  $1,820 U. 
D)  $1,820 F. 
A)  $1,120 U. 
B)  $1,120 F. 
C)  $1,820 U. 
D)  $1,820 F.

Question 10

The Porter Company has a standard cost system.In July the company purchased and used 22,500 grams of direct material at an actual cost of $53,000;the materials quantity variance was $1,875 unfavourable;and the standard quantity of materials allowed for July production was 21,750 grams.The materials price variance for July was?

Accepted Answer

A)  $2,725 F. 
B)  $2,725 U. 
C)  $3,250 F. 
D)  $3,250 U. 
A)  $2,725 F. 
B)  $2,725 U. 
C)  $3,250 F. 
D)  $3,250 U.

Question 11

Marjorie Décor is a custom home designer for drapery.The standard material allowed for each window is 0.5 of medium quality material,which has a standard cost of $10 per kilogram.The current operating budget is based on production of 112,000 windows with 1.0 machine hours allowed per window.Variable overhead is anticipated to be $1,792,000.Actual production was 116,000 using 120,000 machine hours.Actual variable costs were $15 per machine hour.
Required:
a.Determine the spending variance
b.Determine the efficiency variance

Accepted Answer

SR = 1,792,000/112,000 = $16
a

Question 12

Albert Manufacturing Company manufactures a single product.The standard cost of one unit of this product is:

Accepted Answer

@#IMG-DLM& 
During the month of October,6,000 unit

Question 13

The terms "standard quantity allowed" or "standard hours allowed" mean:

Accepted Answer

A)  the actual output in units multiplied by the standard output allowed. 
B)  the actual input in units multiplied by the standard output allowed. 
C)  the actual output in units multiplied by the standard input allowed. 
D)  the standard output in units multiplied by the standard input allowed. 
A)  the actual output in units multiplied by the standard output allowed. 
B)  the actual input in units multiplied by the standard output allowed. 
C)  the actual output in units multiplied by the standard input allowed. 
D)  the standard output in units multiplied by the standard input allowed.

Question 14

The fixed overhead budget variance is measured by:

Accepted Answer

A)  the difference between budgeted fixed overhead cost and actual fixed overhead cost. 
B)  the difference between actual fixed overhead cost and applied fixed overhead cost. 
C)  the difference between budgeted fixed overhead cost and applied fixed overhead cost. 
D)  the difference between budgeted fixed overhead cost and standard fixed overhead cost. 
A)  the difference between budgeted fixed overhead cost and actual fixed overhead cost. 
B)  the difference between actual fixed overhead cost and applied fixed overhead cost. 
C)  the difference between budgeted fixed overhead cost and applied fixed overhead cost. 
D)  the difference between budgeted fixed overhead cost and standard fixed overhead cost.

Question 15

A positive revenue variance is favourable and a positive cost variance is favourable.

Accepted Answer

A) True 
 B)False

Question 16

The variable overhead spending variance for May was:

Accepted Answer

A)  $1,710 F. 
B)  $1,710 U. 
C)  $2,290 F. 
D)  $2,290 U. 
A)  $1,710 F. 
B)  $1,710 U. 
C)  $2,290 F. 
D)  $2,290 U.

Question 17

The following materials standards have been established for a particular product:

Accepted Answer

@#IMG-DLM& 
The following data pertain to operatio

Question 18

What is the materials quantity variance for the month?

Accepted Answer

A)  $5,814 U. 
B)  $5,916 U. 
C)  $8,550 U. 
D)  $8,700 U. 
A)  $5,814 U. 
B)  $5,916 U. 
C)  $8,550 U. 
D)  $8,700 U.

Question 19

What is the materials price variance for the month?

Accepted Answer

A)  $3,640 U. 
B)  $3,640 F. 
C)  $4,060 U. 
D)  $4,060 F. 
A)  $3,640 U. 
B)  $3,640 F. 
C)  $4,060 U. 
D)  $4,060 F.

Question 20

Lab Corp.uses a standard cost system.Direct labour information for Product CER for the month of October follows:   What are the actual hours worked?

Accepted Answer

A)  1,400. 
B)  1,402. 
C)  1,598. 
D)  1,600. 
A)  1,400. 
B)  1,402. 
C)  1,598. 
D)  1,600.

Jimbob Co.uses flexible budgeting to control overhead costs.Its budgeted variable overhead costs per machine hour are as follows:

If a company using a flexible budget has a sales revenue variance,the variance results solely from differences in budgeted versus actual selling prices.

What is the materials quantity variance for the month?

The materials price variance for January is:

The following labour standards have been established for a particular product: The following data pertain to operations concerning the product for the last month: What is the labour efficiency variance for the month?

The flexible budget variance is the difference between the actual results and the flexible-budget amount for the actual levels of the revenue and cost drivers.

One cause of an unfavourable overhead volume variance would be increases in cost for fixed overhead items.

The materials quantity variance is:

Albert Manufacturing Company manufactures a single product.The standard cost of one unit of this product is:

The terms "standard quantity allowed" or "standard hours allowed" mean:

The fixed overhead budget variance is measured by:

A positive revenue variance is favourable and a positive cost variance is favourable.

The variable overhead spending variance for May was:

The following materials standards have been established for a particular product:

What is the materials quantity variance for the month?

What is the materials price variance for the month?

Lab Corp.uses a standard cost system.Direct labour information for Product CER for the month of October follows: What are the actual hours worked?

An Introduction to Managerial Accounting and Cost Concepts

Systems Design: Job-Order Costing

Systems Design: Activity-Based Costing

Systems Design: Process Costing

Cost Behavior: Analysis and Use

Cost-Volume-Profit Relationships

Profit Planning

Standard Costs

Flexible Budgets and Overhead Analysis

Decentralization

Capital Budgeting Decisions

How Well Am I Doing Statement of Cash Flows

How Well Am I Doing Financial Statement Analysis

Filters

Exam 11: Relevant Costs for Decision Making

Jimbob Co.uses flexible budgeting to control overhead costs.Its budgeted variable overhead costs per machine hour are as follows:

If a company using a flexible budget has a sales revenue variance,the variance results solely from differences in budgeted versus actual selling prices.

What is the materials quantity variance for the month?

The materials price variance for January is:

The following labour standards have been established for a particular product: The following data pertain to operations concerning the product for the last month: What is the labour efficiency variance for the month?

The flexible budget variance is the difference between the actual results and the flexible-budget amount for the actual levels of the revenue and cost drivers.

One cause of an unfavourable overhead volume variance would be increases in cost for fixed overhead items.

The materials quantity variance is:

Albert Manufacturing Company manufactures a single product.The standard cost of one unit of this product is:

The terms "standard quantity allowed" or "standard hours allowed" mean:

The fixed overhead budget variance is measured by:

A positive revenue variance is favourable and a positive cost variance is favourable.

The variable overhead spending variance for May was:

The following materials standards have been established for a particular product:

What is the materials quantity variance for the month?

What is the materials price variance for the month?

Lab Corp.uses a standard cost system.Direct labour information for Product CER for the month of October follows: What are the actual hours worked?

An Introduction to Managerial Accounting and Cost Concepts

Systems Design: Job-Order Costing

Systems Design: Activity-Based Costing

Systems Design: Process Costing

Cost Behavior: Analysis and Use

Cost-Volume-Profit Relationships

Profit Planning

Standard Costs

Flexible Budgets and Overhead Analysis

Decentralization

Capital Budgeting Decisions

How Well Am I Doing Statement of Cash Flows

How Well Am I Doing Financial Statement Analysis

Filters