Use the Following Performance Report for a Cost Center of the Dry

question 8

Multiple Choice

Use the following performance report for a cost center of the Dry Cat Food Division for the month ended December 31 to answer the question below. What is the direct materials variance between the actual results and the flexible budget?

• A) $14 (
• B) $14 (
• C) $30 (
• D) $30 (

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Definitions:

Merchants

Individuals or entities engaged in the buying and selling of goods or services for profit.

Conversion

The unauthorized act of possessing or using someone else's property as if it were one's own, which interferes with the owner's rights.

Dominion

Supreme authority or control over a domain, or the ownership and absolute right to use, enjoy, and dispose of property.

Real Property

Land and anything permanently attached to it, including buildings and other structures, considered a form of real estate.