The Excess of Total Credits Over Total Debits in the Current

question 40

Multiple Choice

The excess of total credits over total debits in the current and private capital accounts is called the

• A)BOP deficit.
• B)BOP surplus.
• C)official settlements account surplus.
• D)official settlements account deficit.

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Definitions:

Standard Cost System

An accounting method that uses predetermined costs for products and services to help managers control expenses and operations.

Labor Rate Variance

The variance between the real labor expenses and the anticipated (or benchmark) cost.

Labor Efficiency Variance

The gap between the number of hours actually worked and the number of standard hours projected, multiplied by the standard wage rate.

Direct Labor

The expenses associated with salaries for workers directly involved in the creation or production of products.