If the Static Budget Variance for Materials Is $250 F

question 80

Multiple Choice

If the static budget variance for materials is $250 F and the budgeted cost for materials is $52,000, then the actual cost of materials is

• A)$51,950
• B)$52,150.
• C)$51,150.
• D)$51,750.

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Definitions:

Owner's Equity

The residual interest in the assets of the entity after deducting liabilities, representing the ownership stake of the owners.

Revenues

The total income generated from normal business operations and other activities over a specific time period.

Expenses

The costs incurred in the process of generating revenue, including operational, administrative, and sales costs.

Debits

In accounting, an entry made on the left side of an account, increasing asset or expense accounts, or decreasing liability, equity, or revenue accounts.