Filters
Question type
Study Flashcards

Ruge Clinic bases its budgets on the activity measure patient-visits.During November,the clinic planned for 2,100 patient-visits,but the actual level of activity was 2,300 patient-visits.The clinic has provided the following data concerning the formulas it uses in its budgeting: Ruge Clinic bases its budgets on the activity measure patient-visits.During November,the clinic planned for 2,100 patient-visits,but the actual level of activity was 2,300 patient-visits.The clinic has provided the following data concerning the formulas it uses in its budgeting: Required: Prepare a report showing the clinic's activity variances for November.Indicate in each case whether the variance is favorable (F)or unfavorable (U). Required: Prepare a report showing the clinic's activity variances for November.Indicate in each case whether the variance is favorable (F)or unfavorable (U).

Correct Answer

verifed

verified

Sunn Corporation manufactures and sells a single product. The company uses units as the measure of activity in its budgets and performance reports. During November, the company budgeted for 6,100 units, but its actual level of activity was 6,050 units. The company has provided the following data concerning the formulas to be used in its budgeting: Sunn Corporation manufactures and sells a single product. The company uses units as the measure of activity in its budgets and performance reports. During November, the company budgeted for 6,100 units, but its actual level of activity was 6,050 units. The company has provided the following data concerning the formulas to be used in its budgeting: -The manufacturing overhead in the flexible budget for November would be closest to: A) $55,511 B) $56,433 C) $55,720 D) $55,660 -The manufacturing overhead in the flexible budget for November would be closest to:


A) $55,511
B) $56,433
C) $55,720
D) $55,660

E) A) and D)
F) C) and D)

Correct Answer

verifed

verified

Malander Kennel uses tenant-days as its measure of activity; an animal housed in the kennel for one day is counted as one tenant-day. During November, the kennel budgeted for 3,400 tenant-days, but its actual level of activity was 3,390 tenant-days. The kennel has provided the following data concerning the formulas used in its budgeting and its actual results for November: Data used in budgeting: Malander Kennel uses tenant-days as its measure of activity; an animal housed in the kennel for one day is counted as one tenant-day. During November, the kennel budgeted for 3,400 tenant-days, but its actual level of activity was 3,390 tenant-days. The kennel has provided the following data concerning the formulas used in its budgeting and its actual results for November: Data used in budgeting: Actual results for November: -The spending variance for food and supplies in November would be closest to: A) $760 F B) $658 U C) $760 U D) $658 F Actual results for November: Malander Kennel uses tenant-days as its measure of activity; an animal housed in the kennel for one day is counted as one tenant-day. During November, the kennel budgeted for 3,400 tenant-days, but its actual level of activity was 3,390 tenant-days. The kennel has provided the following data concerning the formulas used in its budgeting and its actual results for November: Data used in budgeting: Actual results for November: -The spending variance for food and supplies in November would be closest to: A) $760 F B) $658 U C) $760 U D) $658 F -The spending variance for food and supplies in November would be closest to:


A) $760 F
B) $658 U
C) $760 U
D) $658 F

E) B) and D)
F) None of the above

Correct Answer

verifed

verified

Dukette Memorial Diner is a charity supported by donations that provides free meals to the homeless.The diner's budget for August was based on 2,600 meals,but the diner actually served 2,200 meals.The diner's director has provided the following cost formulas to use in budgets: Dukette Memorial Diner is a charity supported by donations that provides free meals to the homeless.The diner's budget for August was based on 2,600 meals,but the diner actually served 2,200 meals.The diner's director has provided the following cost formulas to use in budgets: The director has also provided the diner's statement of actual expenses for the month: Required: Prepare a report showing the activity variances for each of the expenses and for total expenses for August.Label each variance as favorable (F)or unfavorable (U). The director has also provided the diner's statement of actual expenses for the month: Dukette Memorial Diner is a charity supported by donations that provides free meals to the homeless.The diner's budget for August was based on 2,600 meals,but the diner actually served 2,200 meals.The diner's director has provided the following cost formulas to use in budgets: The director has also provided the diner's statement of actual expenses for the month: Required: Prepare a report showing the activity variances for each of the expenses and for total expenses for August.Label each variance as favorable (F)or unfavorable (U). Required: Prepare a report showing the activity variances for each of the expenses and for total expenses for August.Label each variance as favorable (F)or unfavorable (U).

Correct Answer

verifed

verified

Higgs Enterprise's flexible budget cost formula for indirect materials,a variable cost,is $0.75 per unit of output.If the company's performance report for last month shows a $600 favorable spending variance for indirect materials and if 8,000 units of output were produced last month,then the actual costs incurred for indirect materials for the month must have been:


A) $6,000
B) $5,400
C) $6,600
D) $5,200

E) B) and C)
F) A) and D)

Correct Answer

verifed

verified

Neeb Corporation manufactures and sells a single product. The company uses units as the measure of activity in its budgets and performance reports. During January, the company budgeted for 7,000 units, but its actual level of activity was 7,040 units. The company has provided the following data concerning the formulas used in its budgeting and its actual results for January: Data used in budgeting: Neeb Corporation manufactures and sells a single product. The company uses units as the measure of activity in its budgets and performance reports. During January, the company budgeted for 7,000 units, but its actual level of activity was 7,040 units. The company has provided the following data concerning the formulas used in its budgeting and its actual results for January: Data used in budgeting: Actual results for January: -The direct labor in the planning budget for January would be closest to: A) $22,400 B) $23,178 C) $22,528 D) $23,046 Actual results for January: Neeb Corporation manufactures and sells a single product. The company uses units as the measure of activity in its budgets and performance reports. During January, the company budgeted for 7,000 units, but its actual level of activity was 7,040 units. The company has provided the following data concerning the formulas used in its budgeting and its actual results for January: Data used in budgeting: Actual results for January: -The direct labor in the planning budget for January would be closest to: A) $22,400 B) $23,178 C) $22,528 D) $23,046 -The direct labor in the planning budget for January would be closest to:


A) $22,400
B) $23,178
C) $22,528
D) $23,046

E) B) and D)
F) B) and C)

Correct Answer

verifed

verified

Nobriga Corporation uses customers served as its measure of activity.During October,the company budgeted for 29,000 customers,but actually served 33,000 customers.The company has provided the following data concerning the formulas used in its budgeting and its actual results for October: Data used in budgeting: Nobriga Corporation uses customers served as its measure of activity.During October,the company budgeted for 29,000 customers,but actually served 33,000 customers.The company has provided the following data concerning the formulas used in its budgeting and its actual results for October: Data used in budgeting: Actual results for October: Required: Prepare a report showing the company's revenue and spending variances for October.Label each variance as favorable (F)or unfavorable (U). Actual results for October: Nobriga Corporation uses customers served as its measure of activity.During October,the company budgeted for 29,000 customers,but actually served 33,000 customers.The company has provided the following data concerning the formulas used in its budgeting and its actual results for October: Data used in budgeting: Actual results for October: Required: Prepare a report showing the company's revenue and spending variances for October.Label each variance as favorable (F)or unfavorable (U). Required: Prepare a report showing the company's revenue and spending variances for October.Label each variance as favorable (F)or unfavorable (U).

Correct Answer

verifed

verified

Prowse Corporation is an oil well service company that measures its output by the number of wells serviced. The company has provided the following fixed and variable cost estimates that it uses for budgeting purposes. Prowse Corporation is an oil well service company that measures its output by the number of wells serviced. The company has provided the following fixed and variable cost estimates that it uses for budgeting purposes. A total of 42 wells were actually serviced during October. -The Other expenses in the flexible budget for October would have been closest to: A) $34,093 B) $38,200 C) $43,930 D) $38,700 A total of 42 wells were actually serviced during October. -The "Other expenses" in the flexible budget for October would have been closest to:


A) $34,093
B) $38,200
C) $43,930
D) $38,700

E) None of the above
F) C) and D)

Correct Answer

verifed

verified

Grohs Kennel uses tenant-days as its measure of activity; an animal housed in the kennel for one day is counted as one tenant-day. During December, the kennel budgeted for 2,500 tenant-days, but its actual level of activity was 2,530 tenant-days. The kennel has provided the following data concerning the formulas to be used in its budgeting: Grohs Kennel uses tenant-days as its measure of activity; an animal housed in the kennel for one day is counted as one tenant-day. During December, the kennel budgeted for 2,500 tenant-days, but its actual level of activity was 2,530 tenant-days. The kennel has provided the following data concerning the formulas to be used in its budgeting: -The net operating income in the planning budget for December would be closest to: A) $8,150 B) $11,914 C) $8,483 D) $11,633 -The net operating income in the planning budget for December would be closest to:


A) $8,150
B) $11,914
C) $8,483
D) $11,633

E) B) and C)
F) B) and D)

Correct Answer

verifed

verified

Otomo Jeep Tours operates jeep tours in the heart of the Colorado Rockies.The company bases its budgets on two measures of activity (i.e.,cost drivers),namely guests and jeeps.One vehicle used in one tour on one day counts as a jeep.Each jeep has one tour guide.The company uses the following data in its budgeting: Otomo Jeep Tours operates jeep tours in the heart of the Colorado Rockies.The company bases its budgets on two measures of activity (i.e.,cost drivers),namely guests and jeeps.One vehicle used in one tour on one day counts as a jeep.Each jeep has one tour guide.The company uses the following data in its budgeting: In July,the company budgeted for 389 guests and 180 jeeps.The company's income statement showing the actual results for the month appears below: Required: Prepare a report showing the company's activity variances for July.Label each variance as favorable (F)or unfavorable (U). In July,the company budgeted for 389 guests and 180 jeeps.The company's income statement showing the actual results for the month appears below: Otomo Jeep Tours operates jeep tours in the heart of the Colorado Rockies.The company bases its budgets on two measures of activity (i.e.,cost drivers),namely guests and jeeps.One vehicle used in one tour on one day counts as a jeep.Each jeep has one tour guide.The company uses the following data in its budgeting: In July,the company budgeted for 389 guests and 180 jeeps.The company's income statement showing the actual results for the month appears below: Required: Prepare a report showing the company's activity variances for July.Label each variance as favorable (F)or unfavorable (U). Required: Prepare a report showing the company's activity variances for July.Label each variance as favorable (F)or unfavorable (U).

Correct Answer

verifed

verified

Kaina Clinic uses client-visits as its measure of activity. During May, the clinic budgeted for 3,000 client-visits, but its actual level of activity was 2,970 client-visits. The clinic has provided the following data concerning the formulas used in its budgeting and its actual results for May: Data used in budgeting: Kaina Clinic uses client-visits as its measure of activity. During May, the clinic budgeted for 3,000 client-visits, but its actual level of activity was 2,970 client-visits. The clinic has provided the following data concerning the formulas used in its budgeting and its actual results for May: Data used in budgeting: Actual results for May: -The activity variance for net operating income in May would be closest to: A) $396 F B) $396 U C) $486 F D) $486 U Actual results for May: Kaina Clinic uses client-visits as its measure of activity. During May, the clinic budgeted for 3,000 client-visits, but its actual level of activity was 2,970 client-visits. The clinic has provided the following data concerning the formulas used in its budgeting and its actual results for May: Data used in budgeting: Actual results for May: -The activity variance for net operating income in May would be closest to: A) $396 F B) $396 U C) $486 F D) $486 U -The activity variance for net operating income in May would be closest to:


A) $396 F
B) $396 U
C) $486 F
D) $486 U

E) B) and D)
F) None of the above

Correct Answer

verifed

verified

Pratte Boat Wash's cost formula for its cleaning equipment and supplies is $2,460 per month plus $49 per boat. For the month of April, the company planned for activity of 58 boats, but the actual level of activity was 18 boats. The actual cleaning equipment and supplies for the month was $3,470. Why such a great disparity between the planned and actual level of activity from 58 to 18 boats - should these be closer together? Please keep as is. Such a large discrepancy is ok. -The cleaning equipment and supplies in the flexible budget for April would be closest to:


A) $3,342
B) $5,302
C) $3,470
D) $1,645

E) A) and B)
F) A) and C)

Correct Answer

verifed

verified

Birkner Corporation's flexible budget performance report for last month shows that actual indirect materials cost,a variable cost,was $30,444 and that the spending variance for indirect materials cost was $8,142 favorable.During that month,the company worked 17,700 machine-hours.Budgeted activity for the month had been 18,200 machine-hours.The cost formula per machine-hour for indirect materials cost must have been closest to:


A) $1.23
B) $1.26
C) $2.12
D) $2.18

E) B) and D)
F) B) and C)

Correct Answer

verifed

verified

Neeb Corporation manufactures and sells a single product. The company uses units as the measure of activity in its budgets and performance reports. During January, the company budgeted for 7,000 units, but its actual level of activity was 7,040 units. The company has provided the following data concerning the formulas used in its budgeting and its actual results for January: Data used in budgeting: Neeb Corporation manufactures and sells a single product. The company uses units as the measure of activity in its budgets and performance reports. During January, the company budgeted for 7,000 units, but its actual level of activity was 7,040 units. The company has provided the following data concerning the formulas used in its budgeting and its actual results for January: Data used in budgeting: Actual results for January: -The manufacturing overhead in the flexible budget for January would be closest to: A) $49,501 B) $52,000 C) $52,044 D) $50,068 Actual results for January: Neeb Corporation manufactures and sells a single product. The company uses units as the measure of activity in its budgets and performance reports. During January, the company budgeted for 7,000 units, but its actual level of activity was 7,040 units. The company has provided the following data concerning the formulas used in its budgeting and its actual results for January: Data used in budgeting: Actual results for January: -The manufacturing overhead in the flexible budget for January would be closest to: A) $49,501 B) $52,000 C) $52,044 D) $50,068 -The manufacturing overhead in the flexible budget for January would be closest to:


A) $49,501
B) $52,000
C) $52,044
D) $50,068

E) A) and B)
F) B) and D)

Correct Answer

verifed

verified

Leist Clinic uses client-visits as its measure of activity. During September, the clinic budgeted for 2,200 client-visits, but its actual level of activity was 2,170 client-visits. The clinic has provided the following data concerning the formulas to be used in its budgeting: Leist Clinic uses client-visits as its measure of activity. During September, the clinic budgeted for 2,200 client-visits, but its actual level of activity was 2,170 client-visits. The clinic has provided the following data concerning the formulas to be used in its budgeting: -The occupancy expenses in the flexible budget for September would be closest to: A) $13,215 B) $12,808 C) $13,583 D) $12,880 -The occupancy expenses in the flexible budget for September would be closest to:


A) $13,215
B) $12,808
C) $13,583
D) $12,880

E) B) and D)
F) B) and C)

Correct Answer

verifed

verified

Pickrel Corporation is an oil well service company that measures its output by the number of wells serviced. The company has provided the following fixed and variable cost estimates that it uses for budgeting purposes. Pickrel Corporation is an oil well service company that measures its output by the number of wells serviced. The company has provided the following fixed and variable cost estimates that it uses for budgeting purposes. When the company prepared its planning budget at the beginning of November, it assumed that 27 wells would have been serviced. However, 31 wells were actually serviced during November. -The amount shown for Other expenses in the planning budget for November would have been closest to: A) $34,100 B) $29,439 C) $33,800 D) $34,400 When the company prepared its planning budget at the beginning of November, it assumed that 27 wells would have been serviced. However, 31 wells were actually serviced during November. -The amount shown for "Other expenses" in the planning budget for November would have been closest to:


A) $34,100
B) $29,439
C) $33,800
D) $34,400

E) All of the above
F) A) and B)

Correct Answer

verifed

verified

Guareno Clinic uses client-visits as its measure of activity. During December, the clinic budgeted for 2,500 client-visits, but its actual level of activity was 2,450 client-visits. The clinic has provided the following data concerning the formulas used in its budgeting and its actual results for December: Data used in budgeting: Guareno Clinic uses client-visits as its measure of activity. During December, the clinic budgeted for 2,500 client-visits, but its actual level of activity was 2,450 client-visits. The clinic has provided the following data concerning the formulas used in its budgeting and its actual results for December: Data used in budgeting: Actual results for December: -The occupancy expenses in the flexible budget for December would be closest to: A) $13,720 B) $14,410 C) $14,500 D) $14,286 Actual results for December: Guareno Clinic uses client-visits as its measure of activity. During December, the clinic budgeted for 2,500 client-visits, but its actual level of activity was 2,450 client-visits. The clinic has provided the following data concerning the formulas used in its budgeting and its actual results for December: Data used in budgeting: Actual results for December: -The occupancy expenses in the flexible budget for December would be closest to: A) $13,720 B) $14,410 C) $14,500 D) $14,286 -The occupancy expenses in the flexible budget for December would be closest to:


A) $13,720
B) $14,410
C) $14,500
D) $14,286

E) A) and B)
F) A) and C)

Correct Answer

verifed

verified

Dermody Snow Removal's cost formula for its vehicle operating cost is $2,850 per month plus $317 per snow-day.For the month of December,the company planned for activity of 16 snow-days,but the actual level of activity was 14 snow-days.The actual vehicle operating cost for the month was $7,640.The spending variance for vehicle operating cost in December would be closest to:


A) $282 U
B) $282 F
C) $352 U
D) $352 F

E) A) and D)
F) C) and D)

Correct Answer

verifed

verified

Moncrief Corporation bases its budgets on machine-hours. The company's static planning budget for July appears below: Moncrief Corporation bases its budgets on machine-hours. The company's static planning budget for July appears below: Actual results for the month were: -The spending variance for power costs in the flexible budget performance report for the month should be: A) $2,060 F B) $2,060 U C) $300 F D) $300 U Actual results for the month were: Moncrief Corporation bases its budgets on machine-hours. The company's static planning budget for July appears below: Actual results for the month were: -The spending variance for power costs in the flexible budget performance report for the month should be: A) $2,060 F B) $2,060 U C) $300 F D) $300 U -The spending variance for power costs in the flexible budget performance report for the month should be:


A) $2,060 F
B) $2,060 U
C) $300 F
D) $300 U

E) None of the above
F) C) and D)

Correct Answer

verifed

verified

Mandalay Hotel bases its budgets on guest-days. The hotel's static budget for August appears below: Mandalay Hotel bases its budgets on guest-days. The hotel's static budget for August appears below: -The total variable cost at the activity level of 5,000 guest-days per month should be: A) $127,000 B) $109,220 C) $95,000 D) $81,700 -The total variable cost at the activity level of 5,000 guest-days per month should be:


A) $127,000
B) $109,220
C) $95,000
D) $81,700

E) B) and D)
F) C) and D)

Correct Answer

verifed

verified

Showing 321 - 340 of 417

Related Exams

Exam 1

Managerial Accounting and Cost Concepts

299 Questions

Exam 2

Job-Order Costing: Calculating Unit Production Costs

292 Questions

Exam 3

Job-Order Costing: Cost Flows and External Reporting

255 Questions

Exam 4

Process Costing

138 Questions

Exam 5

Cost-Volume-Profit Relationships

260 Questions

Exam 6

Variable Costing and Segment Reporting: Tools for Management

291 Questions

Exam 7

Super-Variable Costing

49 Questions

Exam 8

Master Budgeting

234 Questions

Exam 10

Standard Costs and Variances

247 Questions

Exam 11

Performance Measurement in Decentralized Organizations

180 Questions

Exam 12

Differential Analysis: The Key to Decision Making

203 Questions

Exam 13

Capital Budgeting Decisions

179 Questions

Exam 14

Statement of Cash Flows

132 Questions

Exam 15

Financial Statement Analysis

289 Questions

Exam 16

Cost of Quality

66 Questions

Exam 17

Activity-Based Absorption Costing

20 Questions

Exam 18

The Predetermined Overhead Rate and Capacity

42 Questions

Exam 19

Job-Order Costing: a Microsoft Excel-Based Approach

28 Questions

Exam 20

Fifo Method

100 Questions

Exam 21

Service Department Allocations

60 Questions

Exam 22

Analyzing Mixed Costs

81 Questions

Exam 23

Time-Driven Activity-Based Costing: a Microsoft Excel-Based Approach

123 Questions

Exam 24

Predetermined Overhead Rates and Overhead Analysis in a Standard Costing System

177 Questions

Exam 25

Standard Cost Systems: a Financial Reporting Perspective Using Microsoft Excel

138 Questions

Exam 26

Transfer Pricing

102 Questions

Exam 27

Service Department Charges

44 Questions

Exam 28

Pricing Decisions

149 Questions

Exam 29

The Concept of Present Value

16 Questions

Exam 30

Income Taxes and the Present Value Method

150 Questions

Exam 31

the Direct Method of Determining the Net Cash Provided by Operating Activities

56 Questions

Show Answer