The cash disbursements budget includes Cash received from customers during a period Cash paid to suppliers during a period Cash paid for direct materials used during a period Cash paid for direct materials ordered during a period Question 2 (2 points) Which of the following is the most important factor in setting a sales budget? Amount of sales needed for the company to breakeven Amount of cash that the company needs to meet its obligations Company capacity to produce goods A. Customer demand for products or services Question 3 (2 points) Which of the following are discretionary uses of available cash? Paying Dividends Paying depreciation on equipment Paying employees Purchasing raw materials Smith LLC is an oilfield service company that measures its output by the number of wells serviced. The company has provided the following fixed and variable cost estimates used for budgeting purposes. When the company prepared its planning budget at the beginning of December, it assumed that 34 wells would have been serviced over 25 days. However 32 wells were actually serviced during the period over 30 days. The actual "other expenses" were $37,400. What is the spending variance? 2000U 4000F 2000F 4000U Question 6 (2 points) Smith LLC is an oilfield service company that measures its output by the number of wells serviced. The company has provided the following fixed and variable cost estimates used for budgeting purposes. When the company prepared its planning budget at the beginning of December, it assumed that 34 wells would have been serviced over 25 days. However 32 wells were actually serviced during the period over 30 days. Actual revenues were $35,000. What is the revenue variance? $1,200 U $1,300F $1,200F Each unit requires 3 direct labor hours, and the average wage of these workers is $14 per hour. What is the budgeted direct labor for February? $168,000$504,000$15,000$56,000 Question 17 ( 2 points) Smith LLC is an oilfield service company that measures its output by the number of wells serviced. The company has provided the following fixed and variable cost estimates used for budgeting purposes. When the company prepared its planning budget at the beginning of December, it assumed that 34 wells would have been serviced. However 32 wells were actually serviced during the period. The "Revenue" in the flexible budget for December would have been closest to: $92,800$144,000$153,000$1,000 When a company purchases more direct materials during a period than it uses in production, price variance should be based on the amount used in production cannot be computed. should be based on the amount left in ending inventory. should be based on the amount purchased