Onyx Company Prepared a Static Budget at the Beginning of the Month

question 30

Multiple Choice

Onyx Company prepared a static budget at the beginning of the month. At the end of the month, the company is analyzing actual results versus budget using flexible budget methodology. Data are as follows:
Static budget: Sales volume: 1,000 units Price: $70 per unit
Variable expense: $32 per unit Fixed expenses: $37,500 per month
Operating income: $500
Actual results: Sales volume: 990 units Price: $74 per unit
Variable expense: $35 per unit Fixed expenses: $33,000 per month
Operating income: $5,610
-
Based on the above data, how much was the sales volume variance for revenues?

• A) $4,500 U
• B) $700 U
• C) $380 U
• D) $3,960 F

Determine the appropriate null hypothesis for given research questions or data analyses.

Calculate expected counts and contributions to chi-square statistics.

Use the Poisson distribution to analyze rare events data.

Analyze data using the chi-square distribution and understand the significance of degrees of freedom in hypothesis testing.

---

Definitions:

Antianxiety Medications

Drugs prescribed to relieve anxiety symptoms or to reduce anxiety and stress disorders.

Gastric Ulcer

A sore that develops on the lining of the stomach, often resulting from infection with Helicobacter pylori or the use of nonsteroidal anti-inflammatory drugs.

Ibuprofen

A nonsteroidal anti-inflammatory drug (NSAID) commonly used to reduce fever, relieve pain, and decrease inflammation.

Respiratory Depression

A medical condition characterized by reduced drive to breathe, often leading to inadequate ventilation and oxygenation.