Adams, Inc

question 76

Multiple Choice

Adams, Inc. uses the following standard to produce a single unit of its product: overhead (2 hrs. @ $3/hr.) $6. The flexible budget for overhead is $100,000 plus $1 per direct labor hour. Actual data for the month show overhead costs of $150,000, and 24,000 units produced. The overhead volume variance is:

• A) $10,000 favorable.
• B) $12,000 favorable.
• C) $4,000 unfavorable.
• D) $16,000 unfavorable.
• E) $36,000 unfavorable.

Differentiate between transactions that create and do not create deferrals.

Comprehend how the income statement and retained earning balances are connected.

Understand the purpose and preparation of unadjusted and adjusted trial balances.

Learn the financial reporting and disclosure requirements for dividends and earnings per share.

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Definitions:

Negative Approach

A strategy or viewpoint focusing on criticism, avoidance of specific outcomes, or highlighting the adverse aspects of a situation.

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A set of related TV programs that continue over a period of time, often following a particular narrative or thematic arc.

Outspoken

Refers to someone who is very frank and unreserved in speech, often expressing opinions very directly.

Biologically Emotionally Directed

Influenced or guided by innate biological factors and emotional responses, rather than purely rational decision-making.