Which of the Following Elements Is (Are) Needed in a Straightforward

question 21

Multiple Choice

Which of the following elements is (are) needed in a straightforward calculation of the variable-overhead spending variance?

• A) Variable overhead incurred during the period.
• B) Budgeted variable overhead based on actual hours worked.
• C) Standard variable overhead applied to production.
• D) Both variable overhead incurred during the period and budgeted variable overhead based on actual hours worked.
• E) Both variable overhead incurred during the period and standard variable overhead applied to production.

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Definitions:

Liabilities

Economic obligations or debts that a business owes to others, such as loans, accounts payable, and mortgages.

Increase

A rise in value or quantity, often observed in financial metrics, operational metrics, or physical measurements.

Stockholders' Equity

The residual interest in the assets of a corporation after deducting its liabilities, indicative of the shareholders' ownership interest.

Creditors

Individuals or institutions to whom money is owed by a debtor for goods, services, or loans provided.