Preparing a Worksheet Involves

question 156

Multiple Choice

Preparing a worksheet involves

• A) two steps.
• B) three steps.
• C) four steps.
• D) five steps.

---

Definitions:

Variable Overhead Rate Variance

The difference between actual variable overhead incurred and the standard cost allocated based on activity level.

Variable Overhead Rate Variance

The difference between actual variable overhead costs incurred and the standard variable overhead costs expected for the actual production level.

Fixed Manufacturing Overhead Budget Variance

The discrepancy between the budgeted fixed overhead costs and the actual fixed overhead incurred during production.

Fixed Manufacturing Overhead Volume Variance

The difference between the budgeted and actually applied fixed manufacturing overhead, based on standard costs for a given period.