Use the Following Figures to Answer the Question Below

question 32

Multiple Choice

Use the following figures to answer the question below.


Based on the data in the figures, which of the following statements are correct?
I. Area 1 has more average precipitation than Area 2.
II. Area 1 has a higher average temperature than Area 2.
III.Both areas have low variation in monthly precipitation.
IV.Area 2 has a lower annual temperature variation compared to Area 1.

• A) only I and III
• B) only II and IV
• C) only II, III, and IV
• D) only I, II, and III

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Definitions:

Fixed Overhead

Regular, fixed expenses associated with the operations of a business that do not vary with production volume.

Raw Material

Basic materials used in the production process of goods, often processed in intermediate steps before fabrication of the final product.

Fixed Overhead

Charges that keep the same level despite the degree of manufacturing or sales activities, including space rental, worker wages, and protection plans.

Predetermined Overhead Rate

An estimated overhead cost rate used in cost accounting to allocate overhead expenses to products or job orders.