The Following Standards for Variable Manufacturing Overhead Have Been Established

question 145

Multiple Choice

The following standards for variable manufacturing overhead have been established for a company that makes only one product: The following data pertain to operations for the last month:
What is the variable overhead efficiency variance for the month?

• A) $15,550 U
• B) $15,200 U
• C) $16,530 U
• D) $980 F

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Definitions:

Efficient Markets

A concept that asserts that financial markets are "informationally efficient," meaning that prices of securities reflect all available information at any given time.

Opportunity Cost

The cost of choosing one alternative over another, typically representing the benefits you could have received by taking a different action.

Alternative Use

The potential other applications or purposes for which a resource, asset, or investment could be utilized instead of its current use.

Game

An interactive, often competitive activity involving skill, chance, or endurance on the part of two or more persons who play by a set of rules, usually for entertainment.