The Difference Between the Actual Variable Overhead Rate and the Standard

question 57

Multiple Choice

The difference between the actual variable overhead rate and the standard variable overhead rate,multiplied by the actual amount of the cost driver,is the:

• A)variable overhead rate variance.
• B)variable overhead efficiency variance.
• C)variable overhead volume variance.
• D)over- or underapplied variance.

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Definitions:

ICD-9-PCS

An abbreviation for the International Classification of Diseases, Ninth Revision, Procedure Coding System; a system used in the United States to classify medical procedures.

ICD-10-PCS

An international system for coding medical procedures and services, facilitating the classification and billing of healthcare interventions.

HCPCS Level II Codes

Codes used in the healthcare industry in the United States to identify products, supplies, and services not included in the CPT coding system, especially for Medicare and Medicaid patients.

CPT Codes

Current Procedural Terminology codes, a set of medical codes used to report medical, surgical, and diagnostic procedures and services.