The Slope

question 332

Multiple Choice

The slope

• A) of a straight line is the same regardless of where on the line it is calculated.
• B) equals the change in the value of the variable measured on the vertical axis divided by the change in the variable measured along the horizontal axis.
• C) will be small if a large change in the variable measured on the vertical axis is associated with a small change in the variable measured along the horizontal axis.
• D) Answers A and B are correct.
• E) Answers A and C are correct.

---

Definitions:

Overhead Controllable Variance

The difference between the actual overhead incurred and the overhead that should have been incurred, based on controllable factors.

Budgeted Overhead

The estimated cost of all indirect production expenses for a specific period as part of the budgeting process.

Standard Hours Allowed

The amount of time that should be spent to produce a certain amount of goods or services, according to predetermined standards.

Overhead Volume Variance

A measure used in cost accounting to determine the difference between the allocated overhead costs and the actual overhead costs incurred.