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Note: maks (Tot SECTION A-MULTIPLE CHOICE QUESTIONS Note ALL S questions are compulsory and MUST be attempted. Each question marks (Total 20 marks) 1. Last month a company bugeted to sell 8.000 units at price of $12.50 per unit. Actual month were 9,000 units giving total sales revenue of $ 117,000. What was the sales variance for last month? A. $4.000 favorable B. $4,000 adverse C 54,500 favorable D. $4.500 verse 2. When preparing a projected income statement, which of the following budgets is prepara A. Projected cost of goods sold budget B. Selling and administrative budget C Sales budget D.. Financial budget 3. Production costs (including USD 30,000 of fixed costs) are budgeted at USD 150,000 for an expected output of 100,000 units. Actual output was 90,000 units, while actual costs were USD 142.500. What is the budget variance and is it favorable or unfavorable? A USD 5500 unfavorable B. USD 6,500 favorable. C. USD 6,500 unfavorable D. USD 4.500 unfavorable. 4. Which of the following explain why accountants separate materials variances into a purchase price variance and a usage variance? A. Different individuals may be responsible for each variance. B. Materials might not be purchased and used in the same period. C. These two variances are likely to be more informative to top management than one overall materials variance D. All of the above 5. Determine the materials usage variance and materials price variance from the following data: Materials purchased- 30,000 units Price per unit purchased - 53.00 Standard price per unit-3.10 Materials used- 25,000 units Standard quantity allowed- 22,000 units A. USD 9,300 favorable (MUV) USD 3,000 unfavorable (MPV). B. USD 9,300 unfavorable (MUV) USD 3,000 favorable (MPV). C. USD 9,000 unfavorable (MUV) USD 2,200 favorable (MPV). D. USD 9,000 favorable (MUV) USD 2,500 unfavorable (MPV