(Ch 11) If more labour hours were used than expected at standard:

Question 18 options:

	the direct labour efficiency variable will be unfavourable.
	the direct labour rate variance will be favourable.
	the direct labour rate variance will be unfavourable.
	the direct labour efficiency variable will be favourable.

(Ch 8) The process of allocating support department costs begins with:

Question 20 options:

	clarifying the purpose of the allocation.
	choosing an allocation base.
	choosing an allocation method.
	establishing cost pools.

(Ch 8) Departments are often used as cost pools when allocating support department costs because:

Question 21 options:

	generally accepted accounting principles require it.
	Canadian income tax regulations require it.
	many companies already accumulate costs by department.
	all departments have easily identifiable allocation bases.