Question 19

0.6pts

Which of the following is false regarding budgeting?

Group of answer choices

Comparing actual results with budgeted results will help managers evaluate the performance of individuals

The essential features of the budgeting process are planning and control

Budgeting requires managers from different functional areas to communicate and coordinate their activities

Availability of idle cash for investment is shown in the capital expenditures budget

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Question 20

0.6pts

Which of the following is true regarding currently attainable standards?

Group of answer choices

allowance is made for normal breakdown, interruptions, etc.

they can be achieved under efficient operating conditions

all of the choices

they are challenging but achievable

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Question 21

1.2pts

Adam Company needs to know its anticipated cash inflows for the next quarter by month. Cash sales are 10 percent of total sales each month. Historically, sales on account have been collected as follows: 60 percent in the month of sale, 30 percent in the month after the sale, and the remaining 10 percent two months after the sale. Sales for the quarter are projected as follows: April, Php120,000; May, Php100,000; and June, Php80,000. Accounts receivable on March 31 were Php60,000.

The expected cash collections of Adam Company for June are

Group of answer choices

Php 89,000

Php 48,000

Php 98,000

Php 68,000

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Question 22

1.2pts

Mark Company's sole product uses a standard material which cost Php5,000 based on 4,000 units. During January, Mark Company purchased and used 88,000 units of materials at a cost of Php1.00 per unit.

Determine the materials price variance.

Group of answer choices

Php 8,000 UF

Php 22,000 F

Php 8,000 F

Php 22,000 UF

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Question 23

1.2pts

Lady Company's sales forecast for April is 12,000 units, for May is 22,000 units, and for June is 25,000 units. Sales totaled 10,000 units in March. The finished goods inventory for March was 2,000 units. End-of-month finished goods inventory levels are planned to be equal to 15 percent of the next month's planned sales. The planned ending inventory of finished goods for May is:

Group of answer choices

6,320 units

5,640 units

3,750 units

2,470 units

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Question 24

1.2pts

Wella Co. produces mode trains. During the month of July, it produced 4,000 trains. The actual labor hours were 8 hours per train. Its standard labor hours are 10 hours per train. The standard labor rate is Php12.00 per hour. At the end of July, Well Co. found that it had an unfavorable labor rate variance of Php8,000. What was Wella Company's actual cost per labor hour?

Group of answer choices

Php 12.75

Php 11.50

Php 12.25

Php 13.00