At the Beginning of Last Year,Tarind Corporation Budgeted $75,000 of Fixed

question 148

Multiple Choice

At the beginning of last year,Tarind Corporation budgeted $75,000 of fixed manufacturing overhead and chose a denominator level of activity of 150,000 machine-hours.At the end of the year,Tari's fixed manufacturing overhead budget variance was $2,250 favorable.Its fixed manufacturing overhead volume variance was $3,750 favorable.Actual direct labor-hours for the year were 156,250.What was Tari's total standard machine-hours allowed for last year's output?

• A) 157,500
• B) 162,000
• C) 164,000
• D) 142,500

---

Definitions:

Investment

The allocation of resources, usually money, in expectation of earning a return or some form of benefit in the future.

Net Income

The net income of a company, calculated by deducting all expenditures and taxes from the total revenue.

Income Statement

A financial statement that reports a company's financial performance over a specific accounting period, detailing revenues, expenses, and net income.

Agreement

A mutual understanding or contract between parties outlining terms and conditions for a specific arrangement or transaction.