QUESTION 23

1. When should variances be investigated?

   	a.	only when they are unfavorable
   	b.	only when they are favorable
   	c.	when outside of the acceptable range
   	d.	never

0 points

QUESTION 24

1. Nadia Company uses a job order cost system. During the month of September, the company worked on three jobs. During September Job B was completed and transferred to finished goods. The job order cost sheets for the three jobs contained the following information at the end of September:

   	Job A	Job B	Job C
   Beginning Balances	$2,000	$1,500	$3,000
   Direct Materials	$500	$800	$1,000
   Direct Labor	$1,200	$2,300	$900

   The company applies overhead at 120% of direct labor cost.

   At the end of September what was the total cost transferred to finished goods?

   	a.	$4,600
   	b.	$7,360.
   	c.	$5,860.
   	d.	none of the above