Efficiency is indicated byA. flexible-budget variancesB. All of these answers are correct.C. static-budget variancesD. sales-activity variances

Answer: A. Flexible-budget variances Detailed ExplanationEfficiency is most accurately indicated by…

Answered: Efficiency is indicated by A.…

Principles of Cost Accounting

17th Edition

ISBN:9781305087408

Author:Edward J. Vanderbeck, Maria R. Mitchell

Publisher:Edward J. Vanderbeck, Maria R. Mitchell

Chapter8: Standard Cost Accounting—materials, Labor, And Factory Overhead

Section: Chapter Questions

Problem 22Q: Why is it important to determine flexible-budget variances?

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Similar questions

Why is it important to determine flexible-budget variances?
This variance is the difference involving spending less, or using less than the standard amount. A. favorable variance B. unfavorable variance C. no variance D. variance
This variance is the difference involving spending more or using more than the standard amount. A. favorable variance B. unfavorable variance C. no variance D. variance
What two factors must be considered when breaking down a variance into its components?
The budget variance for variable production costs is broken down into quantity and price variances. Explain why the quantity variance is more useful for control purposes than the price variance.
When should a standard cost variance be investigated?
What makes a variance favorable? Give an example of a favorable variance involving materials. What makes a variance unfavorable? Give an example of an unfavorable variance involving labor.
Of the following pairs of variances found in a flexible budget report, which pair is most likely to be related? a. Material price variance and variable overhead efficiency variance. Ob. Labor rate variance and variable overhead efficiency variance. Oc. Material usage variance and labor efficiency variance. Od. Labor efficiency variance and fixed overhead volume variance.
Revise the data in your worksheet to reflect the results for the subsequent period as shown below: A 1 Chapter 9: Applying Excel 2 3 4 Data Revenue 5 Cost of ingredients 6 Wages and salaries 7 Utilities 8 Rent 9 10 11 Actual results: 12 Revenue 13 Cost of ingredients 14 Wages and salaries 15 Utilities 16 Rent 17 18 19 20 Actual activity Miscellaneous Miscellaneous Planning budget activity $ $ $ $ $ GA $ $ GA B 10,400 800 2,200 600 30,295 11,110 10,310 1,210 2,200 2,060 C + + 1,700 meals served 1,800 meals served $ $ $ $ D 16.50 q 6.25 q 0.20 q 0.80 q E
Variance analysis would be appropriate to measure performance ina. profit centers.b. investment centers.c. cost centers.d. all of the above.
Variance analysis compares a. standard costs and actual costs b. product costs and period costs c. static budgets and flexible budgets d. practical standards and ideal standards
The flexible budget variance for fixed overhead is known as the A.) Static budget variance. B.) Fixed overhead efficiency variance. C.) The fixed overhead volume variance. D.) The fixed overhead spending variance.

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Efficiency is indicated by A. flexible-budget variances B. All of these answers are correct. C. static-budget variances D. sales-activity variances