# An unfavorable sales volume variance could result

• xpacs1
• 131
• 83% (6) 5 out of 6 people found this document helpful

This preview shows page 39 - 44 out of 131 pages.

68) An unfavorable sales-volume variance could result from: A)decreased demand for the product B)competitors taking market share C)customer dissatisfaction with the product D)All of these answers are correct. Answer: D
Diff: 2 Terms: sales-volume variance Objective: 2 AACSB: Reflective thinking 69) If a sales-volume variance was caused by poor-quality products, then the ________ would be in the best position to explain the variance.
Diff: 2 Terms: sales-volume variance Objective: 2 AACSB: Reflective thinking70) The variance that is BEST for measuring operating performance is the:
Diff: 2 Terms: flexible-budget variance Objective: 2 AACSB: Reflective thinking40
71) An unfavorable flexible-budget variance for variable costs may be the result of:
Diff: 3 Terms: flexible-budget variance Objective: 2 AACSB: Reflective thinking72) An unfavorable variance: A)may suggest investigation is needed B)is conclusive evidence of poor performance C)demands that standards be recomputed D)indicates continuous improvement is needed Answer: A
Diff: 2 Terms: 41
unfavorable variance Objective: 2 AACSB: Reflective thinking73) All of the following are needed to prepare a flexible budget EXCEPT determining the:
Diff: 3 Terms: flexible budget Objective: 2 AACSB: Reflective thinking 74) The variance that LEAST affects cost control is the:
42
Diff: 2 Terms: sales-volume variance Objective: 2 AACSB: Reflective thinking75) A flexible-budget variance is \$800 favorable for unit-related costs. This indicates that costs were:
Diff: 2 Terms: flexible-budget variance Objective: 2 AACSB: Analytical skillsAnswer the following questions using the information below: JJ White planned to use \$82 of material per unit but actually used \$80 of material per unit, and planned to make 1,200 units but actually made 1,000 units.43