The benchmark subtracted from the actual account expense is known variance
Q: Why are unfavorable variances recorded by using debitentries and favorable variances recorded by…
A:
Q: The flexible budget variance for fixed overhead is known as the A.) Static budget variance. B.)…
A: Flexible budget variance for fixed overhead is the difference between Actual fixed overhead and…
Q: Gauging the Favorableness of Variances When variances occur, they are described as being either…
A: Given information Actual cost for actual hours of employees = $4,300,000 Budgeted cost for actual…
Q: Material Cost Variance can be segregated between: a. Mix Variance and Yield Variance b. Usage…
A: solution concept material cost variance material cost variance is divided into material price…
Q: In some cases, a favourable variance can be as bad or worse as an unfavourable variance.
A: Favorable variances (FV) refers to generating more amount of revenue or income from the source than…
Q: Which of the following is FALSE regarding variances? O A favorable variance, when it occurred, are…
A: The method of costing used to determine deviations is referred to as standard costing. The standard…
Q: Required: Calculate Via Gelato revenue and spending variances for June. (l "U" for unfavorable, and…
A: Revenue and Spending variance Revenue and spending variances (sometimes called flexible budget…
Q: The labor flexible budget/spending variance amounts to P Indicate in your solution sheet whether it…
A: Flexible budget is that budget which changes with change in activity level. Labour flexible budget…
Q: Which type of variance causes operating income to be greater than the budgeted operating income?…
A: The variance causes the operating income to be greater than the budgeted operating income is:
Q: When using a standard cost system what term is used to denote that the actual cost is less than the…
A: Standard cost is calculated using estimated amounts. If the actual cost is less than the standard…
Q: A Favorable Variance results when (check all that apply) a. Actual costs exceed Budgeted costs…
A: While calculating variances, for costs - If actual costs are lower than the budgeted costs then it…
Q: When using a standard cost system what term refers to the differences between actual and standard…
A: Difference of actual and standard cost is measured to calculate the variance. The variances of cost…
Q: Each of the following statements is correct regarding overhead variances except: Actual overhead…
A:
Q: 1. What is meant by the total operating-income variance for a given accounting period? What…
A: 1. Explain the meaning of total operating income variance for the given accounting period, and state…
Q: If there were no variances, the company's absorption-costing net income would be
A: Ans. P 325,000 25000 units @ P 30 = P750000 Less. Cost of Sale = P 425000 Net income = P 325,000…
Q: of the following set of terms describes the same type of variance? a)Usage variance, efficiency…
A: The variance is the difference between the actual data and standard output of the production.
Q: This variance is the difference involving spending less or using less than the budgeted amount.
A: Variance is the difference between budgeted, planned or standard cost with the actual cost.
Q: 1. What is the activity variance for the revenue? (Indicate the effect of each variance by selecting…
A: Variance analysis is one of the important technique of management accounting analysis, under which…
Q: Which of the following is NOT true? Multiple Choice An activity variances describes the…
A: Activity Variance The term which are used in the costing techniques which describes as difference…
Q: Explain the difference between a favorable and an unfavorable variance.
A: Variance: The term variance is used under standard costing system. Variance is actually the…
Q: Requirements 1. Compute the overhead variances for the year: variable overhead cost variance,…
A: Solution:- Given, Quality Fender uses a standard cost system No. of fenders produced = 20,000…
Q: An Unfavorable Variance results when (check all that apply) a. Actual costs exceed Budgeted…
A: Variance: The difference between the actual cost or price and the budgeted (standard) cost or price…
Q: Considering the variance analysis, which of the following statements is true?
A: Variance analysis is the analysis which is the analysis only possible when the company has a…
Q: Determine the most accurate statement about variances. Unfavorable variances normally have a credit…
A: Variance: A variance is defined as the difference between a budgeted, planned, or standard cost and…
Q: Required: Compute the following cost variances from the available data. (Indicate the effect of each…
A: The standard costing helps the management in determining variances derived in the actual performance…
Q: Distinguish between a favorable variance and an unfavorable variance.
A: Favorable Variance: Favorable variance is the variation in the actual and planned output which is…
Q: c. Calculate the direct labor rate variance. (Do not round your intermediate calculations. Indicate…
A: Solution:- c)Calculation of the direct labor rate variance as follows:- Formula Labor rate variance…
Q: When management uses variance reports to evaluate cost control, they look into which of the…
A: Standard costing means where standard is set for various cost element and actual cost is then…
Q: When is the direct labor time variance favorable? A. when the actual quantity used is greater than…
A: Direct labor time is the time taken o produce a unit . when the standard time to make a unit is less…
Q: Why Fixed Overhead Volume Variance is said to be a favorable variance when the actual output is more…
A: Fixed overhead volume variance is the difference between Applied fixed overhead and Budgeted Fixed…
Q: Required: Calculate Via Gelato revenue and spending variances for June. (Indicate the effect of each…
A: Variance refers to those deviation which is used to determine the difference between the actual…
Q: Distinguish among a budget, a performance report, and a variance. Question content area…
A: Introduction:- Budgeting plays vital role in every organization or business or company or person. it…
Q: When is the direcet labor time variance unfavorable? A. when the actual quantity used is greater…
A: Direct Labor Rate Variance: The difference between the actual cost of direct labor and the standard…
Q: TRUE OR FALSE When actual production volume is less than expected volume, the production volume…
A: Fixed factory overhead volume variance = (Budgeted hours -Standard hours required for actual…
Q: Each of the following statements is correct regarding overhead variances except: a. Actual overhead…
A: Statements about overhead variances are correct that are: Actual overhead greater than applied…
Q: Describe a common but misleading interpretation of the fixed-overhead volume variance. Why is this…
A: Flexible Budget: A flexible budget is a budget that is prepared for different levels of the…
Q: Explain the phrase, "Fixed Overhead Expenditure (or Spending or Budget) Variance: This variance…
A: Solution:- Explaining the concept of Fixed Overhead Expenditure or Spending variance as follows…
Q: An unfavorable activity variance for revenue indicates that activity was less than expected when the…
A: Solution: True. An unfavorable activity variance for Revenue indicated that activity was less than…
Q: The sales price factor shows a variance of * D
A: Variance caused by selling price in total sales is known as sales price Variance. Formula: Sales…
Q: Poorly trained workers could have an unfavorable effect on which of the following variances?…
A: Poorly trained workers can cause more usage of materials or more time for the job. So poorly…
Q: unfavorable variances result from
A: Unfavorable variance:-It is a result of lower sales, higher expenses, or combination when actual…
Q: B. Given the possible causes of the variances, identify the variance for each number and whether…
A: Identifying the names of variances and whether they are favourable or unfavourable is shown…
Q: riance is favorable if the actual revenue exceeds what the revenue should have been for the actual…
A: the correct statement is True
Q: ked overhead variances is e between the original budgete
A: The right answer is option d . Fixed overhead variances consists of a budget and a volume variances
Q: Help question 26
A: False. Price variance is the difference between the Standard price of the input and actual price of…
Q: Required: Use the variance formulas to compute the following variances. (Indicate the effect of each…
A: Variable-overhead spending variance $54,000 U Variable-overhead efficiency variance $42,000 U…
Q: Which of the following is FALSE regarding variances? O A favorable variance, when it occurred, are…
A: Standard costing refers to the method of costing used to find out the variances. Standard overhead…
Q: Which of the following statements about variances is false? If actual direct material price is…
A: Variance analysis is comparing the actual and standard figures and finding the differences or…
The benchmark subtracted from the actual account expense is known variance? yes or no
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- A revenue variance is favorable if the actual revenue exceeds what the revenue should have been for the actual level of activity of the period. Select one: True FalseWhat is a revenue variance and what does it mean?1.) what is the spending variance for wages and salaries? (Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect) 2. What is spending variance for total expenses ? (Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect)
- b. Calculate the profit variance c. Calculate the total revenue variance. d) Calculate the revenue volume variance. e) Calculate the revenue price variance. f) Calculate the total cost variance.Why are unfavorable variances recorded by using debitentries and favorable variances recorded by using creditentries?Describe a common but misleading interpretation of the fixed-overhead volume variance. Why is this interpretation misleading?
- b) Why are separate price and quantity variances computed?a-d. How do I calculate profit, revenue and cost variances and how are they related?1. What is the activity variance for the revenue? (Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect) 2. What is the spending variance for the cost of ingredients? (Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effec
- Which of the following items would be useful to management in deciding whether to investigate the cause of a reported standard cost variance? O Cost-volume-profit analysis. O Simultaneous equations. O Linear regression analysis. O Iso-profit lines. Indifference probability.a. what is a variance? b. when might a favorable variance not be a good outcome?1. When the total direct labor cost variance is unfavorable, the direct labor rate variance will (must) also be unfavorable. A. True B. False 2. Favorable variances are not analyzed for possible cause. A. True B. False
