Mark: 19 (1 point for each question) 1) The unemployment rate is high in the city in which a company has a factory. The company finds that they are able to pay new employees a lower wage per hour than when the unemployment rate was lower a year ago. Which variance is directly impacted? A) Materials price variance B) Materials efficiency variance C) Labour price variance D) Labour efficiency variance 2) Thomas Corporation produces stopwatches. According to company standards, it should take 1 hour of direct labour to produce a stopwatch. Thomas' standard labour cost is $18 per hour. During June, Thomas produced 5,000 stopwatches and used 5,150 hours of direct labour at a total cost of $102,500. What is Thomas' direct labour price variance for June? A) $9,800 favourable B) $9,515 unfavourable C $9,515 favourable D) $9,800 unfavourable 3) Zany Brainy projected current year sales of 50,000 units at a unit sale price of $20.00 Actual current year sales were 55,000 units at $22.00 per unit. Variable costs were budgeted at $14.00 per unit and actually totaled $15.00 per unit. Budgeted fixed costs totaled $400,000, while actual fixed costs amounted to $420,000 What is the Zany Brainy's sales volume variance for total revenue? A) $110,000 favourable B) $100,000 unfavourable C$110,000 unfavourable D) $100,000 favourable 4) The standard cost of direct labour per hour is $10.00. Two standard direct labour hours are allowed per finished good. During the current period, 512 finished goods were produced using 1,000 direct labour hours. The direct labour price variance is $100, unfavourable. Calculate the actual cost of direct labour per hour. Al $2.40 B) $10.00 C) $10.10 D) $20.00 5) Cateye Corporation Company budgeted 600 kilograms of direct materials costing $27.00 per kilogram to make 6,000 units of product. The company actually used 58 kilograms of direct materials costing $28.00 per kilogram to make the 6,000 units. What is the direct materials efficiency variance? A) $405 favourable B) $420 favourable C) $405 unfavourable D) $420 unfavourable Answer the following question(s) using the information below. Kellar Corporation manufactured 1,500 chairs during June. The following variable overhead data pertain to June: Budgeted variable averhead cost per unit $12.00 Actual variable manufacturing overhead cost $16,800 Flexible-budget amount for variable manufacturing overhead $18,000 Variable manufacturing overhead efficiency variance $360 unfavourable 6) What is the variable overhead flexible-budget variance? A) $1,200 favourable B) $360 unfavourable C) $840 favourable D) $1,560 unfavourable 7) What is the variable overhead rate variance? A) $1,200 favourable B) $1,200 unfavourable C) $1,560 favourable D) $1,560 unfavourable 8) What does a favourable direct materials price variance indicate? A) The actual cost of materials purchased was greater than the standard cost of materials purchased. B) The standard cost of materials purchased was less than the actual cost of materials purchased. C) The standard cost of materials purchased was greater than the actual cost of materials purchased. D) The actual quantity of materials used was less than the standard quantity of materials used for actual production. 9) In flexible budgets, costs that remain the same regardless of the output levels within the relevant range are A) allocated costs. B) budgeted costs. C) fixed costs. D) variable costs. E) estimated costs