Which of the Following Budgets Usually Shows Separate Sections for Fixed

question 44

Multiple Choice

Which of the following budgets usually shows separate sections for fixed and variable costs?

• A)Direct materials and manufacturing overhead budget
• B)Manufacturing overhead budget and production budget
• C)Production budget and manufacturing overhead budget
• D)Operating expense budget and manufacturing overhead budget

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Definitions:

Standard Time

An adjustment to the total normal time; the adjustment provides allowances for personal needs, unavoidable work delays, and fatigue.

Average Observed Time

The arithmetic mean of the times for each element measured, adjusted for unusual influence for each element.

Visual Workplace

Uses a variety of visual communication techniques to rapidly communicate information to stakeholders.

Hawthorne

Refers to the Hawthorne Effect, a phenomenon where people improve or modify an aspect of their behavior in response to their awareness of being observed.