Figure 16-1
Armati, SA The Following Actually Occurred -Refer to Figure 16-1

question 48

Multiple Choice

Figure 16-1
Armati, SA., is looking for feedback on company performance. The company compares the budget for the year with the actual costs. Data have been collected below:
Armati, SA., had the following budgeted data: $\begin{array}{lr}\text { Unit sales for } 2011 & 26,000 \\\text { Unit production for } 2011 & 26,000\\\\\text { Budgeted fixed overhead for } 2011 \text { : }\\\text { Supervision } & £ 800 \\\text { Depreciation } & 2,000 \\ \text { Rent } & 100\\\\\text { Budgeted variable costs per unit: }\\\text { Direct materials } & £ 0.15 \\\text { Direct labour } & 0.20 \\\text { Supplies } & 0.02 \\\text { Indirect labour } & 0.05 \\\text { Power } & 0.02\end{array}$ The following actually occurred: $\begin{array}{ll}\text { Actual unit sales for } 2011 & 24,000 \\\text { Actual unit production for } 2011 & 28,000\\\\\text { Actual fixed overhead for } 2011 \text { : }\\\text { Supervision } & £ 850 \\\text { Depreciation } & 2,000 \\\text { Rent } & 100\\\\\text { Actual variable costs: }\\\text { Direct materials } & £ 3,500 \\\text { Direct labour } & 4,900 \\\text { Supplies } & 530 \\\text { Indirect labour } & 1,250 \\\text { Power } & 470\end{array}$
-Refer to Figure 16-1. The static budget for total variable costs is

• A)£90 U.
• B)£180 U.
• C)£790 F.
• D)£880 F.

---

Definitions:

Recruitment Package

A collection of benefits, including salary, perks, and other incentives, offered to potential employees as a part of the hiring process.

Retention

The action of keeping something or someone, often referring to the strategies used by businesses to keep employees from leaving the company.

Working Facility

The physical location and amenities provided by an employer where employees perform their job functions.

Revitalizing The Organization

Strategies and actions undertaken to rejuvenate an organization's operations, culture, and financial health to stimulate growth or improve performance.