A set of budget relationships that can be adjusted for various activity levels is called a(n) (Points : 2) opportunity budget. static budget. variable budget. flexible budget. Cringle Company expects sales as follows: Sales are made 20% for cash, and 80% on credit. Credit sales are collected 60% in the month of sale and 40% in the next month. What are cash collections for March? (Points : 2) $170,400 $180,000 $36,000 $168,000 4. Which of the following is not used in deciding how many units to produce in a period? (Points : 2) The desired number of units in ending inventory. The expected sales in units. The number of units in beginning inventory. The number of units of raw material in inventory. 5. The master budget incorporates individual budgets such as those for (Points : 2) direct materials, direct labor, and selling and administrative expenses. best case, worst case, and most likely sales forecasts. one year ago, five years ago, and ten years ago. each company in the industry. 6. The labor rate variance is equal to the difference between the actual wage rate and the standard wage rate, times the actual number of labor hours worked. (Points : 2) True False 7. Variances that are large in absolute dollar value or as a percent of actual or standard cost are generally considered exceptional in a management by exception approach. (Points : 2) True False 8. The standard price for materials is often determined by (Points : 2) a financial analyst who is following the company. a union labor contract. price lists provided by suppliers. multiplying the number of units needed by the actual cost. 9. A dress company has the following standards to make one dress: The company used 8,000 yards of material in order to make 2,500 dresses in April. The company purchased 8,200 yards at $7.75 per yard. How much is the direct materials quantity variance? (Points : 2) $3,750 unfavorable. $2,050 unfavorable. $5,800 unfavorable. $5,250 unfavorable. 10. Volume variance occurs because: (Points : 2) cost control is poor. the estimated activity level is wrong. Both A and B. Neither A nor B.