O P 1. Variances always measure: a. by how much we underperformed the budget. b. by how much we overperformed the budget. e. differences between budget figures and actual figures. d. only the bad results we have had. e. none of the above. 2. In the "fabulous and brilliant" Bessner coding system for bank reconciliations, an NSF cheque will be treated as: a. a B+ item. b. a C+ item. c. a B- item. d. a C- item. e. none of the above. 3. For purposes of cash budgeting, depreciation expense is: a. ignored. b. always included as an expense. c. included, but shown as part of overhead, not shown separately. d. both a and b are correct. e. none of the above. 4. In order to properly budget a restaurant's annual expected revenue, we need to know: a. the number of seats it contains. b. the turnover rate for each meal period that the restaurant is open. c. the number of days the restaurant will be open during the year. d. the average check for each meal period. e. all of the above. 5. In the Bottom-Up Method, before-tax profit is treated as a: a. fixed item. b. variable item. c. semi-variable item d. both a and b above. e. none of the above.geted gure is lower than the actual one, the variance IS Unfavourable. C~ Ifthe budgeted gure is greater than the actual one, the variance is favourable. d. If the budgeted gure is greater than the actual one, the variance is unfavourable. 6. none ofthe above. 7- If our hotel revenue budget told us to expect to sell 400 rooms last night at an aVerage rate of $250 per room, but instead we actually sold 425 rooms at an aVerage rate of $236 per room, then our volume variance was: a. $ 300 F. b. $ 6,250 F. c. $ 5,950 U. (1. $103,000 F. 6. none of the above. 8. If T represents a company's tax rate, to convert aftertax prot into before tax prot, simply; a. multiply beforetax prot by lT. b. divide before-tax prot by l-T. c. divide after-tax prot by l-T. d. multiply after-tax prot by l-T. 6. none of the above. 9. Bank reconciliations must be prepared each month because: a. The company's records are always wrong. b. Timing differences and errors need to be explained. c. Accounting clerks need busywork. d. The bank's gures must be used by the company. 6. None of the above