The Static Budget,at the Beginning of the Month,for New England

question 117

Multiple Choice

The static budget,at the beginning of the month,for New England Furniture Company follows: Static budget:
Sales volume: 1000 units; Sales price: $71.00 per unit
Variable costs: $33.00 per unit; Fixed costs: $36,200 per month
Operating income: $1800
Actual results,at the end of the month,follows:
Actual results:
Sales volume: 960 units; Sales price: $74.00 per unit
Variable costs: $35.00 per unit; Fixed costs: $35,000 per month
Operating income: $2440
Calculate the sales volume variance for fixed costs.

• A) $1920 U
• B) $1200 F
• C) $1520 U
• D) $0

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Definitions:

Inhibits Heart Rate

Inhibiting heart rate refers to various mechanisms or actions that decrease the frequency at which the heart beats, often through the action of specific neurotransmitters or hormones.

Parasympathetic

One of the two divisions of the autonomic nervous system, often referred to as the "rest and digest" system, which conserves energy as it slows the heart rate, increases intestinal and gland activity, and relaxes sphincter muscles in the gastrointestinal tract.

Urinary Bladder

A hollow organ in the lower abdomen that stores urine from the kidneys before it is expelled from the body.

Digestive Tract

A series of hollow organs joined in a long, twisting tube from the mouth to the anus, where digestion of food takes place.