Final - Accounting 285 Final Exam Fall 2004\ NOTE - THERE...

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Accounting 285 – Final Exam – Fall 2004\ NOTE - THERE WILL BE MORE QUESTIONS FROM CHAPTERS 9 THAN APPEAR ON THIS FINAL. SEE OLD EXAM II FOR EXAMPLES. Use the following information for the next three questions. Robertson Company planned to produce 60,000 units during 2005. Robertson uses a standard cost system and allocates overhead based on units produced. At the planned level of production, it was estimated that fixed overhead would be $1.00 per unit and variable overhead would be $2.50 per unit. During the year, Robertson produced 63,000 units and had actual overhead costs of $230,000. 1. What is the amount of applied (standard) overhead? A. $215,700 B. $220,500 C. $210,000 D. $230,000 2. What is Robertson’s controllable overhead variance? A. $9,500 unfavorable B. $3,000 favorable C. $12,500 unfavorable D. $20,000 unfavorable 3. What is Robertson’s overhead volume variance? A. $9,500 unfavorable B. $3,000 favorable C. $12,500 unfavorable D. $20,000 unfavorable 4. If a manager is evaluated based on ROI, and is managing a division which has attained a high ROI, the manager A. may not want to invest in projects that have an ROI that is higher than the firm’s cost of capital, but lower than the division’s ROI. B. should invest in projects that have an ROI lower than the firm’s cost of capital. C. should only consider projects that have a negative NPV. D. may prefer to invest in projects that have an ROI that is very close to the firm’s cost of capital. 5. On a balanced scorecard, the measure of the number of new patents developed through research and development would be an example of a measure in the: A. learning and growth dimension B. internal process dimension C. the customer dimension D. the financial dimension
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Use the following information for the next five questions. Slimy has the following standard cost to produce a king size party sub. DM 4 lbs @ $3.00 per lb. = $12.00 per sub DL 1/2 hour @ $8.00 per hour = $ 4.00 per sub During December, Slimy produced 1,000 party subs, bought and used 4,100 pounds of meat at $3.20 per lb. and used 490 hours of labor at a total cost of $4,018. 6. What is the total standard direct cost of producing the 1,000 subs? A. $16,000 B. $17,238 C. $16,220 D. $16,900 7. What is the direct material price variance? A.
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Final - Accounting 285 Final Exam Fall 2004\ NOTE - THERE...

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