When Machine-Hours Are Used as a Cost-Allocation Base, the Item

question 37

Multiple Choice

When machine-hours are used as a cost-allocation base, the item most likely to contribute to a favorable production-volume variance is:

• A)an increase in the selling price of the product
• B)the purchase of a new manufacturing machine costing considerably less than expected
• C)a decline in the cost of energy
• D)strengthened demand for the product

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Definitions:

Labeling Process

The theory that society creates deviance by identifying and labeling certain actions as deviant and the individuals who commit them as deviants.

Law

A system of rules created and enforced through social or governmental institutions to regulate behavior and maintain order.

What Ought to Happen

refers to normative expectations or prescriptions for behavior and outcomes in societal or specific contexts.

Unequal Distribution

The uneven allocation or spread of resources, wealth, or opportunities among members of a society or between societies.