Use the Information Below to Answer the Following Question(s)

question 77

Multiple Choice

Use the information below to answer the following question(s) .Michelle Inc.uses a level 4-variance analysis of its manufacturing overhead costs, and has the following results for April.A.Budgeted direct labour-hours per unit is used to allocate variable manufacturing overhead.Fixed overhead is allocated on a per unit basis.
b.Budgeted amounts for April are:
C.Actual amounts for April are:

-What are the fixed manufacturing overhead efficiency and production-volume variances, respectively?

• A)0; $200,000 favourable
• B)0; $200,000 unfavourable
• C)$50,500 favourable; $199,998 unfavourable
• D)$50,500 unfavourable; $199,998 favourable
• E)There is no efficiency variance; $200,000 favourable.

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Definitions:

Commercial Banks

Depository institutions that historically made short-term loans primarily to businesses.

Loans

Borrowed sums of money that need to be repaid with interest over a predetermined period.

Depository Institution

A financial institution that accepts deposits from the public and provides credit facilities.

Credit Union

A member-owned financial cooperative that is created and operated by its members and provides credit at competitive rates as well as other financial services to its members.