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The following data have been recorded for recently completed Job 450 on its job cost sheet. Direct materials cost was $3, 044. A total of

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The following data have been recorded for recently completed Job 450 on its job cost sheet. Direct materials cost was $3, 044. A total of 46 direct labor-hours and 104 machine-hours were worked on the job. The direct labor wage rate is $15per labor- hour. The company applies manufacturing overhead on the basis of machine hours. The predetermined overhead rate is $13 per machine-hour. The total cost for the job on its job cost sheet would be A $3, 072 B. $3, 734 C. $4, 332 D. $5, 086 If the actual labour hours worked exceed the standard labour hours allowed, what type of variance will occur? A Favourable labour rate variance. B. Favourable labour efficiency variance. C. Unfavourable labour rate variance. D. Unfavourable labour efficiency variance. Unfavorable material quantity variances. A. mean that less indirect materials were used than expected for actual output. B. could be caused by normal spoilage. C. mean that smaller quantity discounts were taken on purchases. D mean that more direct materials were used than expected for actual output. Delmar Corporation is considering the use of residual income as a measure of the performance of its divisions. What major disadvantage of this method should the company consider before deciding to institute it? A) This method does not make allowance for difference in the size of compared divisions. B) Opportunities may be undertaken which will decrease the overall return on investment. C) The minimum required rate of return may eliminate desirable opportunities from consideration. D) Residual income does not measure how effectively the division manager controls costs. Suppose a manager is to be measured by residual income. Which the following not result in an increase in the residual income figure for this manager, assuming actors remain constant? An increase in sales. An increase in the minimum required rate of return. A decrease in expenses. A decrease in operating assets

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