Minimum Wages Are

question 2

Multiple Choice

Minimum wages are:

• A) not very controversial.
• B) always needed to guarantee workers an acceptable standard of living.
• C) a form of government interference in the free market.
• D) only enforceable at the federal level.

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Definitions:

Fixed Overhead Budget Variance

The difference between the budgeted and actual fixed overhead costs incurred during a specified period.

Fixed Manufacturing Overhead

Costs that do not vary with the level of production, such as rent, salaries of permanent staff, and depreciation of factory equipment.

Fixed Overhead Volume Variance

The difference between the budgeted and actual fixed overhead costs attributed to the variation in produced units.

Materials Price Variance

The difference between the actual cost of materials and the standard cost, which can indicate inefficiencies or savings.