A firm follows labour hours to allocate fixed overhead. A positive volume variance occurs a. When managers controlled fixed overhead during the period b. When employees turned more productive c. When actual labour hours is less than budgeted labour hours d. When actual labour hours is more than budgeted labour hours

Q: An unfavorable fixed overhead volume variance can be due to all of the following except a.employee…

A: The correct answer is option b. increase in utility costs.

Q: Which of the following would produce a materials price variance?  Select one: a. An excess number…

A: Variance analysis is the one that shows the disparity between the actual costs incurred and the cost…

Q: An unfavorable overhead volume variance indicates that:a. Total fixed overhead has exceeded the…

A: Favourable variance: A variance will be termed as a favourable variance when the actual output is…

Q: 1) Why do companies develop flexible budgets for variance analysis?   Because actual activity level…

A: 1. Flexible budget is prepared for different level of sales volume. When the company prepares static…

Q: Harsha Ltd. Corporation wants to know about the variance in production cost.it is noted that mostly…

A: Harsha Ltd. Corporation wants to know about the variance in production cost.it is noted that mostly…

Q: Which of the following would produce a materials price variance? A. an excess quantity of materials…

A: Material price variance: It can be defined as the difference between the budgeted and actual cost of…

Q: Akao Products uses a standard cost system. Variable overhead costs are allocated based on direct…

A:

Q: a. How much was actually spent on labor for the week? b. What are the standard hours for the actual…

A: Variance is the value of deviation from the pre-set standards of the company. Direct Time Variance…

Q: *Rooney uses flexible budgets for performance evaluation. Required a. Prepare a responsibility…

A: The responsibility performance report is the budget which shows the comparison between the budgeted…

Q: If variable manufacturing overhead is applied to production on the basis of direct laborhours and…

A: If variable manufacturing overhead is applied to production on the basis of direct labor hours and…

Q: Which of the following statements might cause a labor efficiency variance? Statement 1 – Hiring of…

A: Labor efficiency variance is the difference between actual labor hours used to produce a product and…

Q: Identify, by clicking on the relevant boxes in the table below, whether each statement made about…

A: Variance analysis is primarily used by the managers for comparison of actual results with the…

Q: TRUE OR FALSE Production volume variance appears whenever actual production deviates from the…

A: Volume variance = ( actual production - budgeted production) x Standard fixed factory overhead rate…

Q: The company applies variable manufacturing overhead to products on the basis of direct labour hours.…

A: Variable Overhead Efficiency Variance is the difference between the standard budgeted time and…

Q: 11) Which of the following would produce a labor rate variance?  Group of answer choices a) Poor…

A: Introduction:- It is the difference between actual costs for direct labor and budgeted costs.…

Q: A favorable labor rate variance indicates that   Multiple Choice   actual hours exceed standard…

A: Formula for Labor rate variance : Labor rate variance = (Actual rate per hour - Standard rate per…

Q: The fixed factory overhead application rate is a function of a predetermined activity level. If…

A: Fixed Overhead Volume Variance = (Actual Output – Planned Output) × Budgeted Fixed Overhead…

Q: 2 A production volume variance will exists when: Production volume differs from the sales volume.…

A: The production volume variance measures the amount of overhead applied to the number of units…

Q: Which of the following statements might cause a labor rate variance?   Group of choices: Hiring of…

A: Labor rate variance is a deviation between actual rates paid to labourers and standard rates. In…

Q: Which of the following is a TRUE statement about the variable overhead efficiency variance when the…

A: Variable overhead efficiency variance  Variable overhead variance refers to the distinguished…

Q: he following computations are incomplete. The missing items are labeled (a) through (d).  identify…

A: Variance is the difference between standard and actual performance.

Q: 1)A firm follows labour hours to allocate fixed overhead. A positive volume variance occurs a) When…

A: Part 1. A firm follows labor hours to allocate fixed overhead. A positive volume variance occurs…

Q: Graphs and overhead variances. Best Around, Inc., is a manufacturer of vacuums and uses standard…

A: 1.Given,Budgeted fixed manufacturing overhead cost is $17,000,000.Budgeted variable manufacturing…

Q: An unfavorable materials quantity variance occurs when the actual quantity used in production is…

A: Note no.   1 Standard data is calculated by considering budgeted data and using actual data.…

Q: Production-volume variance analysis and sales-volume variance. Chart Hills Company makes customized…

A:

Q: adverse direct labor efficiency variance

A: Option A is wrong because the poor scheduling of direct labor hours will negatively affect the labor…

Q: If a company uses predetermined rate for absorption of manufacturing overhead, the volume variance…

A: If a company uses predetermined rate for absorption of manufacturing overhead, the volume variance…

Q: A change in the quality of materials purchased A new supplier contract Error in the accounting…

A: 1) Material price variance = Material price variance occurs when the actual price paid is more or…

Q: If a company uses predetermined rate for absorption of manufacturing overhead, the volume variance…

A: Introduction:- A predetermined overhead rate is an allocation rate , which is used to apply the…

Q: which of the following is a possible cause of an unfavorable labor efficiency variance? A. hiring…

A: The difference between the Standard labour Cost for actual hours worked and actual wages paid is…

Q: Why is the identification of favorable and unfavorable variances so important to a company? How can…

A: Introduction: Every business creates Standard Costs for a range of goods and services. It uses these…

Q: The budgeted variable selling, and administrative expense is calculated by multiplying the budgeted…

A: Answer: False, The budgeted selling Variable expense is computed on the Budgeted sale units but the…

Q: Standard Costing and Variance Analysis Standard cost systems set budgets for the materials, labor,…

A: Standard costing is a costing strategy for establishing performance standards that allow firms to…

Q: . In 2020 standard cost variance analysis report presented by the controller of ABC Corporation, the…

A: Solution Note Dear student as per the Q&A guideline we are required to answer the first question…

Q: Which of the following would produce a labor rate variance? A. Poor quality materials causing…

A: The correct option is B.

Q: A labor rate variance is due solely to the difference   Between budgeted materials price and actual…

A: Direct Labor Rate Variance: The direct labor rate variance is a measure to determine the variation…

Q: negative number using a minus sign and an unfavorable variance as a positive number. Rate variance…

A:

Q: Which manager would be most responsible for a variance in variable overhead efficiency? a.…

A: Standard cost means the cost which the company is expecting to be incurred on the basis of estimate…

Q: Which of the following variances is caused by a difference between the denominator activity in the…

A: Variance: Variance refers to the difference level in the actual cost incurred and standard cost. The…

Q: The difference between actual factory overhead and budgeted factory overhead on the basis of actual…

A: The difference between the actual expenses and the budgeted expenses for the specific units is…

Q: Variable manufacturing overhead is applied to products on the basis of standard direct labor-hours.…

A: Labor efficiency variance = (Actual hours worked - Standard hours allowed)*Standard labor rate per…

Q: An unfavorable labor rate variance is created when: Multiple Choice actual labor hours worked exceed…

A: Cost Accounting: It is the process of collecting, recording, analyzing the cost, summarizing cost,…

Management by Exception

A manager’s job is a very tough one. A manager needs to look at the various areas of work and as a manager he has to look after two or more important jobs or activities at the same time for the growth of the business. In order to do all these things in an effective manner, a manager must adopt or practice different management styles and tactics.