Answer the Following Questions Using the Information Below:
Skizone Company's

question 97

Multiple Choice

Answer the following questions using the information below:
Skizone Company's 4-Variance Analysis:
$$\begin{array} { | l | l | l | l | } \hline & & & \text { Production-Volume } \\ & \text { Spending Variance } & \text { Efficiency Variance } & \text { Variance } \\\hline \text { Variable overhead } & \$ 6,500 \mathrm {~F} & \$ 12,000 \mathrm { U } & \text { No variance } \\\hline \text { Fixed overhead } & \text { (a) } & \text { No variance } & \$ 46,000 \mathrm { U } \\\hline\end{array}$$
-Which of the following statements is true of Skizone's overhead variances?

• A) Budgeted variable overhead rate is higher than actual variable overhead rate.
• B) Static fixed overhead amount is higher than flexible fixed overhead amount.
• C) Budgeted variable overhead rate is lower than actual variable overhead rate.
• D) Static fixed overhead amount is lower than flexible fixed overhead amount.

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Definitions:

Optimal

The most favorable or efficient condition or outcome that can be achieved under specific constraints.

Secondary Analysis

The practice of using existing data or research findings for new analyses, offering additional insights or exploring new questions.

Newspaper Articles

Written pieces published in newspapers that provide information on current events, features, or commentary.

Mixed Method Approach

An approach in research that combines qualitative and quantitative methods to gain a comprehensive understanding of a research question.