Figure 18-1
Froelech Company Has Developed Capacity Standards -Refer to Figure 18-1

question 7

Multiple Choice

Figure 18-1
Froelech Company has developed capacity standards. Information is as follows: $\begin{array}{lr}\text { Standard cost of the activity capacity acquired } & £ 150,000 \\\text { Standard cost of the activity capacity used } & 100,000 \\\text { Standard cost of the actual activity used } & 120,000\end{array}$
-Refer to Figure 18-1. The unused capacity variance is

• A)£20,000 favourable.
• B)£30,000 favourable.
• C)£50,000 favourable.
• D)There is no variance.

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Definitions:

Chess Board

A square board used in the game of chess, consisting of 64 smaller squares, arranged in an 8x8 grid.

Randomly Arranged

Items, subjects, or events are placed or selected without a specific pattern, order, or purpose, ensuring an unbiased distribution.

Retroactive Interference

A cognitive phenomenon where newer memories interfere with the recall of older memories, often studied in psychology and neuroscience.

Memorize Position

The action or process of learning something so that it can be recalled exactly from one's memory, particularly in terms of spatial location.