Figure 11-5

question 47

Multiple Choice

Figure 11-5. Merric Company uses an activity-based costing system.Four activities have been identified.The setup activity uses the number of setups as its cost driver.The following budget information is available for this activity:
The company expects to perform 25 setups in May.
Refer to Figure 11-5.Actual costs incurred were $246,000 fixed and $144,000 variable.If the actual number of setups in May was 30,what is the activity-based flexible budget variance?

• A)$15,000 U
• B)$15,000 F
• C)$12,000 F
• D)$12,000 U

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Definitions:

Psychological Functions

Fundamental processes of the human mind, such as perception, memory, cognition, and emotion, that underlie human behavior and experience.

Interpreting Information

The process of understanding, analyzing, and making sense of data, symbols, or situations to form meaningful conclusions.

Critical Thinking

The ability to analyze facts to form a judgment. It includes the evaluation of sources, such as data, facts, observable phenomena, and research findings.

Brain Imaging Tools

Technologies, such as MRI and CT scans, used to visualize the structure and function of the brain.