Figures Incorporated Makes a Single Product--An Electrical Motor Used in Many

question 107

Multiple Choice

Figures Incorporated makes a single product--an electrical motor used in many long-haul trucks.The company has a standard cost system in which it applies overhead to this product based on the standard labor-hours allowed for the actual output of the period.Data concerning the most recent year appear below:
The variable overhead efficiency variance is:

• A) $5,389 F
• B) $5,389 U
• C) $4,896 F
• D) $4,896 U

---

Definitions:

Cash Account

An account reflecting the amount of cash available, including all receipts and payments of cash.

Bank Statement

A report sent by a bank to a customer indicating the previous balance, ATM transactions, nonsufficient funds, individual checks processed, individual deposits received, service charges, and ending bank balance.

Outstanding Checks

Checks written by a company or person that were not received or not processed by the bank before the preparation of the bank statement.

Financial Statement

A formal record of the financial activities of a business, person, or other entity, presented in a structured manner to understand financial conditions and operations.