Z Company Uses a Variable Costing System

question 54

Multiple Choice

Z Company uses a variable costing system. There was no opening or closing stock. The following data is available.
Use this data to determine Z's sales price variance.

• A) $2000 favourable
• B) $10 000 unfavourable
• C) $58 000 unfavourable
• D) $10 000 favourable

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Definitions:

Series RL Circuit

An electrical circuit consisting of a resistor (R) and an inductor (L) connected in series, used to study the behavior of circuits with resistive and inductive components.

Inductive Reactance

The opposition to the change in current in an inductor, depending on the frequency of the current and the inductance.

Angle Theta

Generally used to express the phase angle difference between voltage and current in a reactive circuit.

Total Resistance

The sum of all resistances within an electrical circuit that affects the overall flow of electric current.