Boulder Corporation Uses a Standard Costing System

question 143

Multiple Choice

Boulder Corporation uses a standard costing system. The following factory overhead and production data were reported in September: Standard fixed overhead allocation rate per direct labour hour $2
Estimated monthly direct labour hours 40,000
Standard direct labour hours for actual output in September 42,000
The fixed overhead production volume variance is:

• A)$4,000 overapplied
• B)$4,000 underapplied
• C)$80,000
• D)$84,000

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Definitions:

Contingency

A future event or circumstance that is possible but cannot be predicted with certainty, often dependent on other factors.

Biofeedback

A technique used to teach individuals how to control bodily processes that are normally involuntary, such as heart rate or blood pressure, through the use of electronic monitoring.

Neurofeedback

A therapeutic intervention that measures brain waves and provides real-time feedback to help individuals learn to regulate brain function.

Reinforcement Schedule

The pattern or timing in which an organism receives a reward or punishment, influencing the speed and strength of behavior learning.