Which of the Following Is Not an Overhead Variance

question 39

Multiple Choice

Which of the following is not an overhead variance?

• A) Variable-overhead spending variance.
• B) Variable-overhead efficiency variance.
• C) Fixed-overhead efficiency variance.
• D) Fixed-overhead budget variance.
• E) Fixed-overhead volume variance.

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Definitions:

Gross Method

An accounting method for recording purchases at the gross invoice amount before deducting any cash discounts for early payment.

Credit Terms

Conditions under which credit will be extended to a borrower, including the amount of credit, interest rate, and repayment schedule.

FOB Shipping Point

A term used in shipping contracts to indicate that the buyer is responsible for the cost of transporting the goods from the shipping point.

Invoice Amount

The total sum of money requested by a vendor from a purchaser for goods delivered or services provided.