Rogers Rods & Reels Ltd

question 85

Multiple Choice

Rogers Rods & Reels Ltd.
US-based Rogers Rods & Reels Ltd. manufactures and sells various types of fishing equipment. At the end of 2008, Rogers had estimated for the production and sale of 15 000 bass fishing rods. Each rod has a standard calling for 1.5 pounds of direct material at a standard cost of $8.00 per pound and 15 minutes of direct labour time at a standard cost of $.18 per minute. During 2009, Rogers actually produced and sold 16 000 rods. These 16 000 rods had an actual direct materials cost of $179 200 (25 600 pounds at $7.00 per pound) and an actual direct labour cost of $44 800 (224 000 minutes at $.20 per minute) . Each rod sells for $50.
-What is Rogers' flexible budget variance?

• A) $11 200 F
• B) $11 200 U
• C) $ 3500 F
• D) $ 3500 U

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Definitions:

Context

The circumstances or setting surrounding a particular event, statement, or idea which can significantly influence its meaning or effect.

Classical Conditioning

A conditioning method where, through repeated pairings of two stimuli, a response initially caused by the second stimulus becomes caused by the first stimulus alone.

Fear Acquisition

The process by which an individual learns to fear a particular stimulus through conditioning or traumatic experiences.

Findings

Results or conclusions derived from scientific research or investigations.