The Variance That Captures the Effect of Efficient Use of the Activity

question 146

Multiple Choice

The variance that captures the effect of efficient use of the activity base on the cost of variable overhead is the

• A)variable overhead spending variance.
• B)variable overhead efficiency variance.
• C)variable overhead volume variance.
• D)variable overhead rate variance.

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Definitions:

Federal Trade Commission (FTC)

A federal agency established to prevent anticompetitive, deceptive, and unfair business practices through law enforcement, advocacy, and education.

Major Functions

The primary and most important activities performed by an organization, system, or process to achieve its goals.

Geographic Market

A specific area or region in which a company aims to sell its products or services, determined by geographical boundaries.

Monopolization

The process or state where a single company or entity gains exclusive control over a particular market or industry, often regarded negatively due to its impact on competition.