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Bannister Motors Corporation reported the following variances for the period just ended: Variable-overhead spending variance: $69,000U Variable-overhead efficiency variance: $47,000U Fixed-overhead budget variance: $89,000U Fixed-overhead

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Bannister Motors Corporation reported the following variances for the period just ended: Variable-overhead spending variance: $69,000U Variable-overhead efficiency variance: $47,000U Fixed-overhead budget variance: $89,000U Fixed-overhead volume variance: $49,000U If Bannister desires to analyze variances that arose primarily from managers' expenditures in excess of anticipated amounts, the company should focus on variances that total:\fTheory Enterprises uses a standard cost system and prepared the following budget for May when 22,000 machine hours of activity were anticipated: variable overhead, $48,400; xed overhead: $242,000. Actual data for May were: Standard machine hours allowed for output attained: 23.000 Actual machine hours worked: 22,000 Variable overhead incurred: $50,600 Fixed overhead incurred: $253,000 The variablesoverhead spending and efficiency variances for Theory are: (Do not round intermediate calculations and round your nal answer to nearest whole dollar amount.) Variable-Overhead Variable-Overhead Spending Variance Efficiency Variance A. 5 0 $ 6 B. $ 0 $2,200 unfavorable C. $2,200 unfavorable $ 0 D. $2,200 favorable $2,200 unfavorable E. $2,200 unfavorable $2,200 favorable O Choice A O Choice B O Choice C O Choice D O Choice EInstitute Technologies is choosing new cost drivers for its accounting system. One driver is labor hours; the other is a combination of machine hours for unit variable costs and number of setups for a pool of batchlevel costs. Data for the past year follow. Budget Actual Labor hours 216,666 216,666 Machine hours 376,666 466,666 Number of setups 3,666 3,366 Unit variable cost pool $1,665,666 $2,676,666 Batch-level cost pool :5 846,666 $ 924,666 Assume that the two separate pools are used for Institute. The flexible budget dollar amounts for the actual level of machine hours and actual number of setups are: Unit Variable Cost Batch-Level Cost Pool Pool A. $1,665,666 $846,666 B. $1,665,666 $924,666 c. $2, 676, 666 $846, 666 D. $2,676,666 $924,666 E. $2,565,666 $ 6 O Choice A O Choice B O Choice C O Choice D O Choice EBannister Motors Corporation reported the following variances for the period just ended: Variable-overhead spending variance: $50,000U Variable-overhead efficiency variance: $28,000U Fixed-overhead budget variance: $70,000U Fixed-overhead volume variance: $30,000U If Bannister prepared an overhead cost performance report, which of these overhead variances is likely to be excluded from the report?

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