Bonehead Co.has the Following Factory Overhead Costs

question 160

Multiple Choice

Bonehead Co.has the following factory overhead costs:
The factory overhead production-volume variance is:

• A)$4,000 unfavorable.
• B)$7,000 favorable.
• C)$10,000 favorable.
• D)$11,000 unfavorable.
• E)$14,000 unfavorable.

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Definitions:

Contract

An accord between two or more entities that carries legal obligations and is enforceable.

Substantive Unconscionability

A principle in contract law that allows courts to refuse to enforce a contract or clause deemed to be so unfair or unjust towards a party that it is oppressive.

Mirror Image Rule

A principle in contract law stating that an offer must be accepted exactly without modifications; any changes negate the original offer and create a counteroffer.

Modified

Changed or altered from its original form or condition.