36.
The slope of the flexible budget-line is the:
37.
The intercept of the flexible budget-line is total:
38.
When using a flexible budget, what will happen to variable costs on a per-unit basis as
production increases within the relevant range?
39.
40.
Actual
Results
Flexible
Budget
Variance
Flexible
Budget
Sales
Activity
Variance
Master
Budget
Units
13,000
?
2000U
?
Sales revenue
?
13,000F
?
?
?
Less:
<Variable mfg.
Costs>
$87,750
$91,000
?
$105,000
<Variable
mktg/adm.costs>
?
$3,250U
?
$4,000F
30,000
Contribution
margin
$52,000
?
?
$6,000U
?
16–25
41.
Actual
Results
Flexible
Budget
Variance
Flexible
Budget
Sales
Activity
Variance
Master
Budget
Units
13,000
?
2000U
?
Sales revenue
?
13,000F
?
?
?
Less:
<Variable mfg.
Costs>
$87,750
$91,000
?
$105,000
<Variable
mktg/adm.costs>
?
$3,250U
?
$4,000F
30,000
Contribution
margin
$52,000
?
?
$6,000U
?
42.
Actual
Results
Flexible
Budget
Variance
Flexible
Budget
Sales
Activity
Variance
Master
Budget
Units
13,000
?
2000U
?
Sales revenue
?
13,000F
?
?
?
Less:
<Variable mfg.
Costs>
$87,750
$91,000
?
$105,000
<Variable
mktg/adm.costs>
?
$3,250U
?
$4,000F
30,000
Contribution
margin
$52,000
?
?
$6,000U
?
43.
Actual
Results
Flexible
Budget
Variance
Flexible
Budget
Sales
Activity
Variance
Master
Budget
Units
13,000
?
2000U
?
Sales revenue
?
13,000F
?
?
?
Less:
<Variable mfg.
Costs>
$87,750
$91,000
?
$105,000
<Variable
mktg/adm.costs>
?
$3,250U
?
$4,000F
30,000
Contribution
margin
$52,000
?
?
$6,000U
?
44.
Actual
Results
Flexible
Budget
Variance
Flexible
Budget
Sales
Activity
Variance
Master
Budget
Units
13,000
?
2000U
?
Sales revenue
?
13,000F
?
?
?
Less:
<Variable mfg.
Costs>
$87,750
$91,000
?
$105,000
<Variable
mktg/adm.costs>
?
$3,250U
?
$4,000F
30,000
Contribution
margin
$52,000
?
?
$6,000U
?
45.
Actual
Results
Flexible
Budget
Variance
Flexible
Budget
Sales
Activity
Variance
Master
Budget
Units
13,000
?
2000U
?
Sales revenue
?
13,000F
?
?
?
Less:
<Variable mfg.
Costs>
$87,750
$91,000
?
$105,000
<Variable
mktg/adm.costs>
?
$3,250U
?
$4,000F
30,000
Contribution
margin
$52,000
?
?
$6,000U
?
46.
Actual
Results
Flexible
Budget
Variance
Flexible
Budget
Sales
Activity
Variance
Master
Budget
Units
13,000
?
2000U
?
Sales revenue
?
13,000F
?
?
?
Less:
<Variable mfg.
Costs>
$87,750
$91,000
?
$105,000
<Variable
mktg/adm.costs>
?
$3,250U
?
$4,000F
30,000
Contribution
margin
$52,000
?
?
$6,000U
?
47.
In analyzing company operations, the controller of the Carson Corporation found a
$250,000 favorable flexible budget revenue variance. The variance was calculated by
comparing the actual results with the flexible budget. This variance can be wholly
explained by: (CMA adapted)
48.
The difference between operating profits in the master budget and operating profits in the
flexible budget is called:
49.
50.
The sales price variance is the difference between the actual sales revenues and the:
51.
52.
53.
If the total materials variance for a given operation is favorable, why must this variance be
further evaluated as to price and usage?
54.
Which department is customarily held responsible for an unfavorable materials quantity
variance?
55.
When are the following direct materials variances ideally reported?
Quantity
Price
A.
Purchase Date
Purchase Date
B.
Time of Use
Time of Use
C.
Purchase Date
Time of Use
D.
Time of Use
Purchase Date
56.
In the general model, a price variance is calculated as:
57.
In the general model, an efficiency variance is calculated as:
58.
Which of the following direct labor variances uses the standard hours allowed for the
actual number of units produced?
Rate
Efficiency
A.
Yes
Yes
B.
No
No
C.
Yes
No
D.
No
Yes
59.
Which of the following is the most probable reason a company would experience an
unfavorable labor rate variance and a favorable labor efficiency variance?
60.