If Standard Cost Variances Are Allocated (I

question 135

Multiple Choice

If standard cost variances are allocated (i.e. ,prorated) to inventory and cost of goods sold (CGS) accounts at the end of a period,which of the following is correct?

• A)Conceptually,the amount allocated to each account is based on the relative amount of the current period's standard cost in the end-of-period balance in each account.
• B)The resulting balances represent relative actual cost in each of the affected accounts.
• C)There is a presumption that the net variance for the period is immaterial in amount.
• D)The amount allocated to inventories is generally larger than the amount allocated to CGS.

Comprehend the factors that influence the attitude-behavior link within the workplace.

Grasp the principles of reward systems and their influence on employee satisfaction and performance.

Understand the relationship between job satisfaction and organizational citizenship behavior (OCB).

Identify different types of organizational commitment and their impact on employee retention.

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Definitions:

Improper Fraction

A fraction in which the top number is greater than or equal to the bottom number.

Mixed Fraction

A mathematical expression combining a whole number and a proper fraction.

Mixed Fraction

A number consisting of an integer and a proper fraction (e.g., 3 1/2).

Whole Number

Non-negative integers, including zero, without fractions or decimals, representing complete units.