Alpine Productions Uses a Standard Cost System for Recording Transactions

question 87

Multiple Choice

Alpine Productions uses a standard cost system for recording transactions.Alpine reported the following data for the year ended December 31: Sales revenues: $800,000
Cost of goods sold (standard costing) : $382,000
Selling & admin expenses: $105,000
Variances:
$$\begin{array} { | l | r | c | } \hline \text { Sales revenue variance } & \$ 4,100 & \mathrm {~F} \\\hline \text { Direct materials cost variance } & 30 & \mathrm { U } \\\hline \text { Direct materials efficiency variance } & 300 & \mathrm {~F} \\\hline \text { Direct labor cost variance } & 65 & \mathrm { U } \\\hline \text { Direct labor efficiency variance } & 10 & \mathrm {~F} \\\hline \text { Variable overhead cost variance } & 300 & \mathrm { U } \\\hline \text { Variable overhead efficiency variance } & 80 & \mathrm {~F} \\\hline \text { Fixed overhead cost variance } & 430 & \mathrm { U } \\\hline \text { Fixed overhead volume variance } & 100 & \mathrm {~F} \\\hline\end{array}$$ What is the standard net operating income?

• A)$312,665
• B)$316,765
• C)$421,765
• D)$313,000

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Definitions:

Freud

Sigmund Freud was an Austrian neurologist who founded the discipline of psychoanalysis, a clinical method for treating psychopathology through dialogue between a patient and a psychoanalyst.

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The act of explaining the meaning of something; in psychology, it refers to the process of understanding or making sense of sensory information.

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A dream that is experienced repeatedly over a long period, often reflecting unresolved conflicts or stress.

Psychotherapist

A trained professional who treats mental health problems and emotional challenges through talking therapies and psychological treatments.