Answer the Following Questions Using the Information Below

question 99

Multiple Choice

Answer the following questions using the information below:
Munoz, Inc., produces a special line of plastic toy racing cars. Munoz, Inc., produces the cars in batches. To manufacture a batch of the cars, Munoz, Inc., must set up the machines and molds. Setup costs are batch-level costs because they are associated with batches rather than individual units of products. A separate Setup Department is responsible for setting up machines and molds for different styles of car.
Setup overhead costs consist of some costs that are variable and some costs that are fixed with respect to the number of setup-hours. The following information pertains to June 2011:

-Calculate the efficiency variance for variable setup overhead costs.

• A)$1,900 unfavorable
• B)$600 unfavorable
• C)$1,900 favorable
• D)$600 favorable

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Definitions:

Hymen

A thin membrane partially covering the external vaginal opening in females, often considered a marker of virginity, although it varies greatly in appearance and presence.

Mons Pubis

A rounded mass of fatty tissue found over the pubic bone of adult women, adding cushioning over the pubic bone.

Mammary Glands

Special organs in female mammals designed for producing milk to nourish their offspring.

Milk

A nutrient-rich liquid produced by the mammary glands of mammals, serving as the primary source of nutrition for their young.