Which of the following variances would not be investigated by a manager following the management by exception principle? OA 10% unfavorable variance in payroll tax expense OA 10% favorable variance in raw materials price OA 10% unfavorable variance in direct labor rates O An unfavorable variance that has increased by 5% in each of the last five months

Aaha Inc. produces premium protective automotive covers. The direct materials and direct labour standards for one car cover are as follows: Standard Quantity or Hours Direct materials Direct labour 7.00 metres of cloth 0.30 hours Standard Price or Rate $8 per metre $ 16 per hour Standard Cost $56.00 $4.80 In September, the following activity was recorded: 17,500 metres of cloth were purchased at a cost of $7.50 per metre All of the purchased material was used to produce 2,500 car covers. 520 direct labour-hours were recorded at a total labour cost of $8,320. Required: 1. Compute all direct materials variances for September (Indicate the effect of each variance by selecting "F" for favourable, "U" for unfavourable, and "None" for no effect (ie., zero variance).) Answer is complete and correct. Direct materials price variance Direct materials quantity variance Total direct material cost variance $ 8,750 F $ $ 8,750 ( 0 None F 000

In analyzing company operations, the controller of the Carson Corporation found a $250,000 favorable flexible budget revenue variance. The variance was calculated by comparing the actual results with the flexible budget. This variance can be wholly explained by: (CMA adapted) Multiple Choice О the total flexible budget variance. О the total static budget variance. О changes in unit selling prices. changes in the number of units sold.

S1: The percentage increase in selling price is found by dividing the favorable sales price variance by last year's sales at the current year's sales quantity. S2: The percentage decrease in units sold is found by dividing the favorable cost volume variance by the planned level of cost of sales. A. both are true C. S1 is true D. S2 is true B. both are false

Revenue variances Rockport Industries Inc. gathered the following data for March: Sales price per unit Number of units of sales Total sales Planned $150 x 12,500 Actual $144 x 12,900 $1,875,000 $1,857,600 Enter a favorable variance as a negative number using a minus sign and an unfavorable variance as a positive number. a. Compute the revenue price variance. b. Compute the revenue volume variance. $ c. Compute the total revenue variance.

[The following information applies to the questions displayed below.] The director of cost management for Odessa Company uses a statistical control chart to help management determine when to investigate variances. The critical value is 1 standard deviation. The company incurred the following direct-labor efficiency variances during the first six months of the current year. January February March. April May June $ 250 F 800 U 700 U 908 U 1,050 U 1,200 U The standard direct-labor cost during each of these months was $19,000. The controller has estimated that the firm's monthly direct-labor variances have a standard deviation of $950. Required: 1-a. Draw a statistical control chart and plot the variance data given above. 1-b. Which variances will be investigated?

Assume that sales quantity variance is $26,560 unfavourable, market share variance is $74,700 unfavourable. Which of the following statements is TRUE? A) Actual market size is lower than budgeted market size. B) Actual market size is higher than budgeted market size. C) Actual market share is higher than budgeted market share. D) None of these answers is correct.