Figure 8-4 the Vertical Distance Between Points a and B Represents a Represents

question 163

Multiple Choice

Figure 8-4
The vertical distance between points A and B represents a tax in the market.
-Refer to Figure 8-4.The price that buyers effectively pay after the tax is imposed is

• A)$12.
• B)between $8 and $12.
• C)between $5 and $8.
• D)$5.

---

Definitions:

Attainable Standards

Realistic targets for costs or productivity set by management, which are challenging yet achievable under normal working conditions.

Materials Quantity Variance

The deviation of the actual materials used from the expected standard quantity in production, times the standard unit cost.

Controllable Overhead Variances

The differences between the budgeted and actual overhead costs that management can control or influence.

Volume Overhead Variances

The difference between the expected (budgeted) overhead costs based on standard volume and the actual overhead costs incurred.