33&34

QUESTION 33 What inputs are used to calculate the flexible budget? a. Standard quantity allowed for actual output X Standard price O b. Actual quantity X Actual price c. standard quantity X actual price d. Actual quantity X standard price QUESTION 34 Metals, Inc. produces several products from processing 1 pound of gold. Material and processing costs total $15,000 per pound, 25% of which is allocated to product R25. 60 units of product R25 are produced from each pound of gold. The units can either be sold at the split-off point for $500 each or processed further at a total cost of $20,000 and then sold for $800 each. Should product R25 be processed further or sold at the split-off point? a. Yes, it should be processed further. b. None of the given options are correct. No, it should not be processed further d. It is equally profitable to sell it at the split-off point or to process it further