20.

Juventus FC Pty Ltd is a manufacturer of a range of football boots. The following is a list of activities, costs and quantities of activity drivers for a number of activities that occur in the factory.

Activity	Activity cost	Activity Driver	Quantity of Activity Driver
Cut leather	$ 7000	#batches	500 batches
Load machines	$ 9200	#batches	500 batches
Auto. boot manufacture	$36 000	#machine hours	4500 MH
Finalise & check	$24 000	#labour hours	2000 LH

Under an activity-based costing system, what is the overhead rate per unit of the activity driver for Load machines?

Select one:

$20.8

$92

$14

$18.4

Clear my choice

25.

Given the following information, calculate the materials price variance:

Direct material purchased and used 30 000 kg

Cost of direct material$84 000

Unfavourable direct materials usage variance$3000

Standard quantity of direct materials for May production (SQ)29 000 kg

Select one:

$2800 (F)

$6000 (F)

$6000 (U)

$2800 (U)

30.

Everton FC Pty Ltd estimates its overhead costs for their Goodison Park factory will be $300,000 for the coming year and it will use 20,000 direct labour hours over the same period. How much overhead will be charged to a job that uses 25 direct labour hours?

Select one:

$375.

$23.

$15.

$120.

21.)

Roma FC Pty Ltd is a manufacturer of a range of football boots. The following is a list of activities, costs and quantities of activity drivers for a number of activities that occur in the factory.

Activity	Activity cost	Activity Driver	Quantity of Activity Driver
Cut leather	$ 7000	#batches	500 batches
Load machines	$ 9200	#batches	500 batches
Auto. boot manufacture	$36 000	#machine hours	4500 MH
Finalise & check	$24 000	#labour hours	2000 LH

Under an activity-based costing system, what is the overhead rate per unit of the activity driver for Cut leather?

Select one:

$14

$18.4

$52

$22

22)

Sandy Ltd makes a profit of $20,000, calculated under variable costing. Sandy has a constant fixed manufacturing cost per unit of $50, opening inventory of 1,000 units and closing inventory of 1,100 units. What is the profit calculated using absorption costing?

Select one:

$30,000

$20,000

$25,000

$15,000

23)

Bojo Ltd makes a profit of $500,000, calculated under variable costing. Bojo has a constant fixed manufacturing cost per unit of $70, with both opening and closing inventory being 1,000 units. What is the profit calculated using absorption costing?

Select one:

$570,000

$500,000

$430,000

$600,000

24)

A cost variance is:

Select one:

The difference between actual costs in two successive time periods

The difference between the cost of a product and its selling price

A measure of risk

The difference between the actual cost and the standard cost

26.

Koko Company Ltd has set the following direct material standards per unit of product: 2.5 kg @ $3.00 per kg.

During April, actual direct material purchased is 8000 kg at a cost of $3.10 per kg. Direct materials used amounted to 7600 kg.

Actual production was 3000 units.

Determine Kokos direct material price variance.

Select one:

$800 U

$300 U

$800 F

$300 F