Question
QUESTION 6 1.The total direct materials variance is best explained by: the variance cannot be explained unless the budget is flexed to actual production. better
QUESTION 6
1.The total direct materials variance is best explained by:
the variance cannot be explained unless the budget is flexed to actual production.
better use of materials by the production manager.
a change in price of the raw materials.
the production manager failing to control the material usage.
QUESTION 7
1.An adverse variance is best described as a:
variance where the actual performance falls short of the budget target.
variance where labour efficiencies have occurred.
combination of variances.
variance where actual performance exceeds the budget target.
QUESTION 8
1.What does management by exception refer to in the budgeting process?
rewarding exceptional effort.
delegating responsibility, leaving management free for other things.
concentrating most of management's efforts on those who do not achieve the budget.
motivating staff to boost the reputation of the business.
QUESTION 9
1.The contribution margin is so called because it contributes to:
variable costs.
fixed and variable costs.
fixed costs and profit.
fixed costs.
QUESTION 10
1.Selling price per unit less variable costs per unit is known as:
contribution margin.
direct cost.
avoidable cost.
all of the above.
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access with AI-Powered Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started