Week 1 Quiz chpt 8 - 1. Question : Student Answer: (TCO 10)...

This preview shows page 1 - 2 out of 4 pages.

The preview shows page 1 - 2 out of 4 pages.
1.Question :(TCO 10) Which of the following statements istrueabout overhead costvariance analysis using activity-based costing?Student Answer:Overhead cost variances are calculated for output-unit level costs only.Overhead cost variances are calculated for variable manufacturingoverhead costs only.A 4-variance analysis can be conducted.Activity-based costing uses input measures for all activities, resulting inthe inability to do flexible budgets needed for variance analysis.
Instructor Explanation:See Chapter 8.Points Received:6 of 6Comments:Question 2.Question :(TCO 10) Sebastian Company,which manufactures electricalswitches, uses a standard costsystem and carries all inventoriesat standard. The standardmanufacturing overhead costsper switch are based on directlabor hours and are shownbelow:Variable overhead (5 hours at $12 perdirect manufacturing labor hour)Fixed overhead (5 hours at $15 per direct manufactubased on capacity of 200,000 direct manufacturing lThe following information is

Upload your study docs or become a

Course Hero member to access this document

Upload your study docs or become a

Course Hero member to access this document

End of preview. Want to read all 4 pages?

Upload your study docs or become a

Course Hero member to access this document

Term
Spring
Professor
N/A
Tags
Variance, overhead costs

  • Left Quote Icon

    Student Picture

  • Left Quote Icon

    Student Picture

  • Left Quote Icon

    Student Picture