Which of the Following Is the Basic Economic Policy Function

question 167

Multiple Choice

Which of the following is the basic economic policy function of the Federal Reserve Banks?

• A) holding the deposits or reserves of commercial banks
• B) acting as fiscal agents for the federal government
• C) controlling the supply of money
• D) collecting or clearing checks among commercial banks

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Definitions:

Direct Materials Price Variance

The difference between the actual price and the standard price of direct materials multiplied by the actual quantity of direct materials used in producing a product.

Units

In business and accounting, units refer to the individual pieces or quantities of a product or service.

Variable Factory Overhead

Refers to the indirect, variable costs that change with the level of production output, such as utilities for the manufacturing plant.

Controllable Variance

The difference between the actual variable overhead costs and the budgeted variable overhead for actual production.