Bubba, a Farmer, Wants to Build a Pen Using the 20

question 141

Multiple Choice

Bubba, a farmer, wants to build a pen using the 20 ft 40 ft corner of his barn as part of the pen as shown in the figure below (the corner will not require any fencing) . If Bubba has 128 ft of available fencing, then what will be the maximum area?

• A) 2209 square feet
• B) 1764 square feet
• C) 1369 square feet
• D) 1024 square feet

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Definitions:

Variable Overhead Rate Variance

The difference between the actual variable overhead incurred and the expected variable overhead based on standard cost accounting.

Variable Overhead Rate Variance

The difference between the actual variable overhead incurred and the expected variable overhead based on the predetermined rate.

Direct Materials

Raw materials that are directly traceable to the manufacturing of a specific product and included in the direct costs of production.

Variable Overhead

Costs that vary with the level of production or business activity, such as utilities or indirect materials.