Which of the Following Statements Is Correct? for a Business

question 1

Multiple Choice

Which of the following statements is correct? For a business that buys raw materials and manufactures a product:

• A) "Revenue" or "Turnover" or "Sales" is all money that comes into the business, including items such as bank interest received.
• B) "Revenue" or "Turnover" or "Sales" is money that is left over once the cost of the raw materials is taken off.
• C) "Revenue" or "Turnover" or "Sales" is the money that has actually been received from people buying goods.
• D) "Revenue" or "Turnover" or "Sales" is the sales value of the goods that have been sold in the financial year.

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Definitions:

Supplies

Materials and items that are used in the day-to-day operations of a business but are not directly tied to the production of goods or services.

Variable Overhead Efficiency Variance

The difference between the expected (standard) cost of variable overheads based on actual production and the actual cost incurred.

Variable Overhead Efficiency Variance

A measure that reflects the efficiency of variable overhead resource usage by comparing the standard hours allowed with the actual hours used.

November

The eleventh month of the year in the Gregorian calendar, following October and preceding December.