The
applied
overhead
is
compared
to
the
actual
overhead,
with
any
discrepancy
going
into
one
of
the
following
three
accounts:
goods
in
process
inventory,
finished
goods
inventory,
or
cost
of
goods
sold.
22
woints
awarded
True
or
False
2
Since
estimates
are not
actual
amounts
and
are
used
to
approximate,
there
is
not
a
need
for
the
estimate
to
be
fairly
accurate.
True
or
False
2/2
points
awarded
Opportunity
costs
are
an
important
consideration
for
managers
when
deciding
whether
to
accept
special orders.
True
or
False
2/2
points
awarded
False
When
choosing
whether
to
make,
lease,
or
buy,
a
manager
must
consider
the
profits
to
be
made
under
each
consideration.
True
or
False
2/2
points
awarded
v
©
BEEn
The
Bible
does
not
speak
directly
to
financial
decisions.
True
or
False
2/2
points
awarded
True
6
According
to
the
study
guide,
all
strategy
is
essential
for
the
success
of
a
company.
True
or
False
212
points
awarded
Scored
arget
costing
is
only
utilized
to
determine
the
breakeven
amount.
True
or
False
v
2/2
points
awarded
8
According
to
the
study
guide,
one
of
the
goals
of
managers
should
be
to
find
a
way
to
turn
cost
centers
into
profit
centers.
True
or
False
212
points
awarded
v
According
to
the
study
guide,
strategic
planning
should
follow
the
advice
found
in
Proverbs
3:7.
9
2/2
points
awarded
True
or
False
=R
Luke
10:30-37 provides
business
managers
with
a
guideline
as
to
how
they
should
conduct
both
their
personal
life,
as
well
as
their
business
life.
10
True
or
False
2/2
points
awarded
True
False
11
The two
main
advantages
of
using
predetermined
factory
overhead
rates
are
to
provide
more
accurate
unit
cost
information
and
to:
Multiple
Choice
272
points
awarded
Adjust
for
variances
in
data
sources
Simplify
the
accounting
process.
Extend
the
useful
life
of
the
cost
data.
Provide
cost
information
on
a
timely
basis
Insure
transmission
of
correct
data.
O @
O
O
1
2
The
three
major differences
between
process
and
job
order
costing
systems
are
those
relating
to:
Multiple
Choice
2/2
points
awarded
.
None
of
these
answer
choices
are
correct.
Cost
object,
product
or
service
variety,
and
timing
of
unit
cost
calculation
Quantity,
quality,
and
cost.
Speed,
accuracy,
and
design.
O
O
O e
Responsibility
for
cost,
system
design,
and
authorization
codes.
1
3
Which
of
the
following
can
produce
unit
product
costs
that
fluctuate significantly?
Multiple
Choice
272
points
awarded
(O
Nomelcostng
sysem
Actual
costing
system.
Standard
costing
system.
O
Industry
costing
system.
1
4
The
time
ticket
shows
which
amount
for
an
employee?
Multiple
Choice
02
points
awarded
)
e
Overtime
costs.
O
Number
of
hours
a
manager
assigns.
Check-in
times
and
check-out
times.
1
5
For
job
costing
in
service
industries,
overhead
costs
are
usually
applied
to
jobs
based
on:
Multiple
Choice
272
points
awarded
O
Indirect
materials.
O
Indirect
labor.
.
Direct
labor-hours
or
dollars.
O
Factory
overhead
(O
orectmoteris.
1
6
Job
costing
in
service
firms
uses
recording
procedures
and
accounts
similar
to
those
for
manufacturing
companies
except
for
those
regarding:
Multiple
Choice
272
points
awarded
O
Direct
labor.
O
Overhead
costs.
@
i
O
conamers
17
212
points
awarded
17
2/2
points
awarded
Maple
Mount
Fishery
is a
canning
company
in
Astoria.
The
company
uses
a
normal
costing
system
in
which
factory
overhead
is
applied
on
the
basis
of
direct
labor
costs.
Budgeted
factory
overhead
for
the
year
was
$680,400,
and
management
budgeted
$324,000
of
direct
labor
costs.
During
the
year,
the
company
incurred
the
following
actual
costs.
Direct
materials
used
$384,000
Direct
labor
306,000
Factory
overhead
658,000
The
January
1
balances
of
inventory
accounts
are
shown
below.
Materials—all
direct
$70,000
Work-in-process
41,000
Finished
goods
26,000
The
December
31
balances
of
these
inventory
accounts
were
ten
percent
lower
than
the
balances
at
the
beginning
of
the
year.
The
adjusted
cost
of
goods
sold,
after
under
or
overapplied
overhead,
is:
(Round
your
"predetermined
overhead
rate"
to
1
decimal
place.)
Multiple
Choice
O
$1,373,600.
Multiple
Choice
O
$1.373,600
$1.339,300.
$1,357,600.
$1,332,600.
$1,354,700.
® O
O
O
1
8
Which
one
of
the
following
is
the
amount
that
actual
factory
overhead exceeds
the
factory
overhead
applied?
Multiple
Choice
272
points
awarded
O
Actual
factory
overhead
Factory
overhead
applied
Overapplied
overhead
Underapplied
overhead
Allocated
factory
overhead
O @
O
O
1
9
A
hybrid
costing
system
that
uses
job
costing
to
assign
direct
materials
costs,
and
process
costing
to
assign
conversion
costs
to
products
or
services
is:
Multiple
Choice
22
points
awarded
O
Producteosting.
Process
costing
Job costing
Operation
costing
O @
O
O
Actual
costing.
Normal
spoilage
is
defined
as:
20
Multiple
Choice
272
points
awarded
Scored
-
O
Uncontrollable waste
as
a
result
of
a
special
production
run.
Scrap.
Controllable
spoilage.
Spoilage
that
occurs
under
efficient
operations.
Spoilage
that
arises
under
inefficient
operations.
O @
O
O
21
Depreciation
expense
is
relevant
in
a
decision
only
in
the
context
of:
Multiple
Choice
22
soints
awarded
O
Regulatory
reporting.
Amortized
values.
Determining
sunk
costs
associated
with
the
decision
problem.
Reducing
the
tax
liability
of
the
organization.
Time
value
of
money.
O @
O
O
2 2
The major
problem
with
relevant
cost
determination
is
that
it
fails
to
recognize
the:
212
points
awarded
Multiple
Choice
O
Impact
of
variable
costs
in
the
long
run.
Q
Short-term
nature
of
most
product-related
decisions
O
"Sunk"
nature
of
most
fixed
product
costs.
.
Long-term
nature
of
most
product-related
decisions.
O
Need
to
calculate
costs
more
precisely.
2
3
Al
the
following
are
characteristic
of
relevant
costs
except:
Multiple
Choice
2
oints
awarded
()
Theyare
generaly
variable
They
are not
committed.
They
are
different
in
amount
for
different
options.
They
are
confined
to
inventory-related
(i.e.,
product)
costs.
O
@
O
O
They
are
costs
that
will
be
incurred
in
the
future.
Value
streams
are
useful
in
decision-making
because:
24
Multiple
Choice
0/2
points
awarded
O
Lean
thinking
produces
costlier
products.
Irrelevant
costs
are
identified.
They
identify
all
value-added
products
and
services.
Special
orders
can
be
evaluated
within
the
context
of
the
value
stream.
O
O
|@|
O
They
help
to
highlight
improved
efficiency
in
the
plant.
Preston
Industries,
Inc.
currently
manufactures
part
QX100,
which
is
used
in
several
products
produced
by
the
company.
Monthly
production
costs
for
10,000
units
2 5
of
QX100
are
as
follows:
Direct
materials
$
80,000
212
Direct
labor
$
20,000
points
awarded
Variable overhead
costs
$
50,000
Fixed
overhead
costs
$
40,000
Total
manufacturing
costs
$190,000
Accounting
has
estimated
that
20%
of
the
fixed
overhead
costs
currently
assigned
to
QX100
would
not
be
needed
if
the
company
chose
to
purchase
the
part
from
an
outside
supplier.
Preston
currently
has
the
option
of
purchasing
the
part
from
an
outside
supplier
at
$16.00
per
unit.
Based
solely
on
a
short-run
financial
analysis,
the
maximum
price
that
Preston should
be
willing
to
pay
the
outside
vendor
for
each
unit
of
QX100
is:
Multiple
Choice
O
$11.00
O
$15.00
25
212
points
awarded
26
212
points
awarded
Multiple
Choice
Q
$11.00
O
$15.00
$16.00
$10.00
O
.
$15.80
O
A
company's
approach
to
a
make-or-buy
decision:
Multiple
Choice
O
Depends
on
whether
the
company
is
operating
at
or
below
the
breakeven
point.
Should
utilize
absorption
(i.e.,
full)
costing
for
inventory
purposes
Should
consider
an
allocation
of
corporate
headquarter
expenses
to
the
item
in
question.
Depends
on
whether
the
company
is
operating
at
or
below
normal
volume.
®
O
O O
Involves
an
analysis
of
avoidable
costs.
2
7
Which
of
the
following
statements
regarding
a
joint
production
process
is
not
true?
Multiple
Choice
22
points
awarded
.
The
allocation
of
joint
(common)
production
costs
to
individual
products
helps
management
determine
which
products
should
be
processed
beyond
the
split-off
point.
O
For
financial
reporting
purposes
output
(L.,
inventory)
is
costed
at
the
sum
of
separable
processing
cost plus
an
allocated
share
of
joint
production
costs.
O
Costs
incurred
up
to
the
split-off
point
are
referred
to
as
joint
production
costs.
O
A
common
decision
facing
management
is
whether
to
sell
products
at
the
split-off
point
or to
sell
these
products
after
further
processing.
O
The
decision
as
to
whether
individual
products
should
be
sold
"as
is"
or
processed
further
is
made
by
comparing
incremental
revenues
and
incremental
costs.
2
8
Diamond
Company
has
three
product
lines,
A,
B,
and
C.
The
following
financial
information
is
available:
Item
Product
Line
A
Product
Line
B
Product
Line
C
sales
$30,000
$45,000
$12,000
Variable
costs
$18,000
$24,000
$
7,500
2/2
Contribution
margin
$12,000 $21,000
$
4,500
points
awarded
e
Avoidable
$
4,500
$
9,000
$
3,000
Unavoidable
$
3,000
$
4,500
$
2,000
Pre-tax
operating
income
$
4,500
$
7,500
$
(5e0)
Diamond
is
thinking
of
dropping
Product
Line
C
because
it
is
reporting
an
operating
loss.
Assuming
the
company
drops
Product
Line
C
and
does
not
replace
it,
pre-
tax
operating
income
for
the
firm
will
likely:
Multiple
Choice
.
Decrease
by
$1.500
O
Increase
by
$1.200
29
22
points
awarded
29
272
points
awarded
devote
to
four
different
beverages.
Appropriate
data
on the four
beverages
follow:
Limeade
Lemonade
Sales price
per
case
$21.60 $23.00
Variable
cost
per
case
16.20
18.20
Cases
sold
per
foot
of
shelf
space
per day
30 28
The
Sand
Cruiser
is
a
takeout
food
store
at
a
popular
beachside
resort.
Teresa
Texton,
owner
of
the
Sand
Cruiser,
was
deciding
how
much
refrigerator
space
to
Ginger
Ale
Grape
Juice
$21.60 $46.10
16.10
36.20
5
6
The
contribution
margin
per
case
for
Lemonade
is:
Multiple
Choice
O
$6.40.
O
$5.40.
O
$9.90.
The
contribution
margin
per
case
for
Lemonade
is:
Multiple
Choice
O
ss0
(O
ssa0
O
s9%0
@®
s«
(O
sss0
30
When
using
relevant
cost analysis,
it
is a
common
mistake
for
untrained
managers
to
include
in
their
analysis
all
the
following
except:
Multiple
Choice
272
points
awarded
(O
Average
fired
costs
Unit
variable
costs.
Sunk
costs.
Allocated
fixed
costs.
Total
fixed
costs.
O O O
|e
31
The
best
way
to
allocate
scare
resources
to
attain
a
specific
objective,
such
as
the
maximization
of
operating
income,
is
to
use:
Multiple
Choice
072
points
awarded
Relevant
costing.
Simple
regression
(OLS)
analysis.
A
value-stream
analysis
of
the
decision
alternatives.
Activity-based
costing
(ABC).
Linear
programming
(i.e.,
constrained
optimization
analysis).
o)
e
Ie)
@
32
2/2
points
awarded
32
212
points
awarded
Cost
Pools
Materials
handling
Manufacturing
supervision
Assembly
Machine
setup
Inspection
and
testing
Packaging
Direct
materials
Number
of
parts
Machine
hours
Inspection
time
Packaging
time
Setups
Allocation
Base
Number
of
parts
Hours
of
machine
time
Number
of
parts
Each
setup
Logged
hours
B-13 F-32
$
164.50
$
75.60
160 120
7.9
4.20
1.70
0.80
©.90
0.50
3
2
The
profit
margin
based
on
manufacturing
cost
for
model
B-13
is:
Lens
Care
Inc.
(LCl)
manufactures
specialized
equipment
for
polishing
optical
lenses.
There
are
two
models
-
one
mainly
used
for
fine
eyewear
(F-32)
and
another
for
lenses
used
in
binoculars,
cameras,
and
similar
equipment
(B-13).
The
manufacturing
cost
of
each
unit
is
calculated
using
activity-based
costing,
using
the
following
manufacturing
cost
pools:
Costing
Rate
$
2.40
$14.80
$
3.30
$56.50
per
per
part
hour
LCI
currently
sells
the B-13
model
for
$1,775
and
the
F-32
model
for
$1,220.
Manufacturing
costs
and
activity
usage
for
the
two
products
are
as
follows:
p
Packaging
time
Setups
The
profit
margin
based
on
manufacturing
cost
for
model
B-13
is:
Multiple
Choice
.
$31718
O
$239.09.
O
$31469.
O
$33816.
33
22
»oints
awarded
Which
of
the
following
is
a
common
type
of
value
engineering
in
which
the
performance
and
cost
of
each
major
function
or
feature
of
the
product
is
examined?
Muitiple
Choice
O
costanayss.
Design
analysis
Variable
design
engineering.
Cost-based
value
engineering
Functional
analysis.
®
O
O O
34
212
points
awarded
Which
of
the
following
are
computer-based
databases
that
include
comprehensive
information
about
the
firm's
cost
drivers?
Multiple
Choice
O
Excel
tables.
.
Cost
tables.
O
Cost
driver
tables.
O
Cost
databases.
35
22
points
awarded
36
22
points
awarded
13,000
workbenches.
Cost
data
based
on
sales
of
13,000
workbenches:
Quality
Industries
manufactures
large
workbenches
for
industrial
use.
Yewell
Hartnet,
the
Vice
President
for
marketing
at
Quality
Industries,
concluded
from
market
analysis
that
sales
were
dwindling
for
Quality's
workbenches
due
to
aggressive
pricing
by
competitors.
Quality's
workbench
sells
for
$1140
whereas
the
competition's
comparable
workbench
sells
for
$1,060.
Yewell
determined
that
a
price
drop
to
$1,060
would
be
necessary
to
retain
market
share
and
annual
sales
of
Budgeted
Actual
Quantity Quantity
Actual
Cost
Direct
materials
(pounds)
175,000 168,000
$3,450,000
Direct
labor
(hours)
72,800
71,500
825,000
Machine
setups
(no.
of
setups)
9200
880
250,000
Mechanical
assembly
(machine
hours)
273,000
281,250
3,750,000
Multiple
Choice
In
order
to
reduce
costs
so
as
to
reach
the
desired
target
cost,
Quality
Industries
should
also
focus
on
reducing
the
cost
of:
‘
.
Mechanical
assembly
O
Direct
labor
Exterior
construction
can
manufacture
100,000
juicer
exteriors
per
day.
Pulp
filter
insertion
can
install
25,000
filters
every
6
hours.
Painting
can
decorate
3,000
juicers
every
half
hour.
Packaging
can
package
5,000
juicers
per
hour.
The
plant
operates
24/7,
24
hours
a
day
every
day
of
the
week.
Which
function(s)
is/are
the
bottleneck(s)?
(Assume
an
average
30-day
month.)
Multiple
Choice
O
Pulp
filter
insertion
o
)
poning
Bryan
Inc.
produces
a
specialty
top-quality
juice
machine.
The
product,
the
JM50,
requires
four
processes
to
be
completed.
Specifically,
these
processes
are
exterior
construction,
pulp
filter
insertion,
painting,
and
packaging.
Each
process
is
performed
at
separate
workstations
with
different
completion
rates:
The
plant
operates
24/7,
24
hours
a
day
every
day
of
the
week.
3
6
Which
function(s)
is/are
the
bottleneck(s)?
(Assume
an
average
30-day
month.)
22
Multiple
Choice
points
awarded
O
Pulp
filter
insertion.
O
pacogre
()
paning
O
Exterior
construction.
.
Exterior
construction
and
pulp
filter
insertion.
Ken
Yalters,
the
COO
of
FreshSkin,
asked
his
cost
management
team
for
a
product
line
profitability
analysis
for his
firm's
two
products
-
Askin
and
Bskin.
The
two
37
products
are
skin
care
products
that
require
a
large
amount
of
research
and
development
and
advertising.
He
received
the
report
below.
Ken
concluded
that
Askin
was
the
more
profitable
product,
and
that
perhaps
cost-cutting
measures
should
be
applied
to
the
Bskin
product.
Askin
Bskin
Total
22
sales
$
4,000,000
$
2,600,000
$
6,600,000
pomisawarded
&
oot
of
goods
sold
(2,600,000) (2,100,000) (4,700,000)
Gross
profit
$
1,400,000
§
500,000
$
1,900,000
Research
and
development
(1,170,000)
Selling
expenses
(130,000)
Profit
before
taxes
$
600,000
Seventy-five
percent
of
the
research
and
development
and
selling
expenses
were
traceable
to
Askin.
Profit
before
taxes
for
the
Askin
product,
per
life-cycle
income
statements,
is:
Multiple
Choice
O
$207,500.
O
$332,500.
Seventy-five
percent
of
the
research
and
development
and
selling
expenses
were
traceable
to
Askin.
37
Profit
before
taxes
for
the
Askin
product,
per
life-cycle
income
statements,
is:
22
Multiple
Choice
points
awarded
O
$207,500.
O
$332,500.
$175,000.
$425,000.
O
O
$522,500.
e
The
Gargus
Company,
which
manufactures
projection
equipment,
is
ready
to
introduce
a
new
line
of
portable
projectors.
The
following
data
are
available
for
a
3
8
proposed
model:
Variable
manufacturing
costs
$
270
2/2
Applied
fixed
manufacturing
overhead
135
points
awarded
Variable
selling
and
administrative
costs
90
Applied
fixed
selling
and
administrative
costs
105
What
price
will
the
company
charge
if
the
firm
uses
cost-plus
pricing
based
on
absorption
cost
and
a
markup
percentage
of
110%?
Multiple
Choice
O
None
of
these
answer
choices
is
correct.
O
$44550.
O
$1,260.
What
price
will
the
company
charge
if
the
firm
uses
cost-plus
pricing
based
on
absorption
cost
and
a
markup
percentage
of
110%?
38
Multiple
Choice
212
points
awarded
O
None
of
these
answer
choices
s
correct.
O
$44550.
O
$1.260.
O
$660.
.
$850.50.
3
9
During
the
sales
life
cycle,
which
is
an
example
of
what
happens
during
the
maturity
phase?
Multiple
Choice
272
points
awarded
O
Sales
rise
slowly
as
customers
become
aware
of
the
new
product
or
service.
Product
variety
is
limited
Sales
increase
rapidly
along
with
an
increase
in
product
variety.
O
Sales and
price
decline,
as
do
the
number
of
competitors.
Sales
continue
to
increase
but
at
a
decreasing
rate.
The
number
of
competitors
and
product
variety
decline.
40
The
"risk-averse"
manager
will
be
improperly
biased
to:
Muitiple
Choice
272
points
awarded
Maximize
his
or
her
own
risk
and
minimize
the
company's
risk.
O
Make
risky
decisions.
O
Seek
out
decisions
with
uncertain
outcomes.
Q
Use
resources
beyond
his/her
control.
.
Avoid
decisions
with
uncertain
outcomes.
41
The
principal-agent
economic
model
applied
to
employment
contracts
includes
two
of
the
following
management
performance
aspects:
Multiple
Choice
272
points
awarded
.
Uncertainty
and
lack
of
observability.
Rights
and
duties
Risk
and
motivation.
Controllability
and
responsibility.
O O O O
Performance
and
reward.
42
212
points
awarded
43
072
points
awarded
In
a
formal
management
control
system,
top
management
sets
expectations
for
desired
manager
performance.
Which
of
the
following
is
not
one
of
the
areas
in
which
a
formal
individual
management
control
system
would
be
used?
Muitiple
Choice
(O
promoton
potces.
Hiring
practices.
Operations.
Sales.
®
O
O O
Organizational
culture.
Organic
Laboratories
allocates
research
and
development
costs
to
its
three
research
facilities
based
on
each
facility's
total
annual
revenue
from
new
product
developments:
Facility
location
Kentucky
Arizona
Illinois
Total
New
product
revenue
$56,000,000
$100,000,000
$84,000,000
$240,000,000
Research
&
Development
$
60,000,000
Using
revenue
as an
allocation
base,
the
amount
of
costs
allocated
to
the
lllinois
research
facility
is
calculated
to
be:
Multiple
Choice
O
$17,000,000.
O
$28.000,000.
‘
‘
$14,000,000.
Expenditures
made
in
revenue
centers
usually
include:
44
Multiple
Choice
072
points
awarded
()
owergeting
st
Order-scheduling
costs.
Order-delivering
costs.
Order-producing
costs.
ONCEO
NS
Order-purchasing
costs.
The
benefits
of
decentralized
management
in
a
firm
include
all
of
the
following
except:
45
Muttiple
Choice
22
points
awarded
.
Improved
coordination
among
divisional
managers.
O
Ability
of
SBU
managers
to
use
their local
knowledge
effectively.
O
Motivation
provided
by the
freedom
and
responsibility
of
a
decentralized
environment.
Ability
of
SBU
managers
to
make
more
timely
decisions
45
272
points
awarded
46
212
points
awarded
The
benefits
of
decentralized
management
in
a
firm
include
all
of
the
following
except:
Multiple
Choice
.
Improved
coordination
among
divisional
managers.
O
Ability
of
SBU
managers
to
use
their local
knowledge
effectively.
O
Motivation
provided
by
the
freedom
and
responsibility
of
a
decentralized
environment.
Ability
of
SBU
managers
to
make
more
timely
decisions.
Sand
and Sea
Resorts
owns
and
operates
two
resorts
in
a
coastal
town.
Both
resorts
are
located
on
a
barrier island
that
is
connected
to
the
mainland
by
a
high
bridge.
One
resort
is
located
on
the
beach
and
is
called
the
Crystal
Coast
Resort.
The
other
resort
is
located
on
the
inland
waterway
which
passes
between
the
town
and
the
mainland;
it
is
called
the
Harborview
Resort.
Some
key
information
about
the
two
resorts
for
the
current
year
is
shown
below.
Harborview
Crystal
Coast Total
Revenue
(000s)
$
3,500
$
6,500
$
10,000
Square
feet
75,000
225,000 300,000
Rooms
60
148 200
Assets
(000s)
$100,000 $400,000 $500,000
The
nontraceable
operating
costs
of
the
resort
amount
to
$4,000,000.
By
careful
study,
the
management
accountant
at
Sand
and
Sea
has
determined
that,
while
the
costs
are
not
directly
traceable,
the
total
of
$4
million
could
be
fairly
allocated
to
the
four
cost
drivers
as
follows.
Cost
Driver
Amount
Allocated
Revenue
$
200,000
Square
feet
100,000
Rooms
600,000
Assets
(008@s)
3,100,000
Using
the
information
regarding
the
allocation
of
the
$4
million
to
the
four
cost
drivers,
determine
the
amount
of
cost
to
be
allocated
to
the
Harborview
Resort.
Multiple
Choice
46
Using
the
information
regarding
the
allocation
of
the
$4
million
to
the
four
cost
drivers,
determine
the
amount
of
cost
to
be
allocated
to
the
Harborview
Resort.
55
Multiple
Choice
points
awarded
O
$715,000.
O
$1,050,000.
$1,680,000.
$1,500,000.
O
.
$895,000.
O
47
The
contribution
by
profit
center
(CPU)
expands
the
contribution
margin
income
statement
by
distinguishing:
Multiple
Choice
272
points
awarded
.
Controllable,
noncontrollable,
and
untraceable
fixed
costs.
Variable
and
fixed
costs.
Short-term
and
long-term
fixed
costs.
Noncontrollable
and
untraceable
fixed
costs.
Controllable
and
noncontrollable
fixed
costs.
O O
O
O
Writer
One
Inc.
manufactures
ball
point
pens
that
sell
at
wholesale
for
$0.80
per
unit.
Budgeted
production
in
both
2018
and
2019
was 8,000
units.
There
was
no
48
beginning
inventory
in
2018.
The
following
data
summarized
the
2018
and
2019
operations:
2018 2019
Units
sold
6,500
9,000
212
Units
produced
8,000
8,000
points
awarded
Costs:
Variable
factory
overhead
per
unit
$
0.20
$
0.20
Fixed
factory
overhead
$1,200 $1,200
Variable
marketing
per
unit
$
0.30
$
0.30
Fixed
Selling
and
Administrative
$
3208
320
.
B
.
Variable
costing
operating
income
for
2018
is
calculated
to
be:
Multiple
Choice
Variable
costing
operating
income
for
2018
is
calculated
to
be:
48
Multiple
Choice
272
points
awarded
U
$149.
$655.
$1,030.
®
O
O O
$430.
Zhender
Inc.
manufactures
hair
brushes
that
sell
at
wholesale
for
$2.60
per
unit.
Budgeted
production
in
both
2018
and
2019
was
3,000
units.
There
was
no
49
beginning
inventory
in
2018.
The
following
data
summarized
the
2018
and
2019
operations:
2018 2019
Units
sold
2,500 3,200
22
Units
produced
3,000
3,000
points
awarded
Costs:
Variable
factory
overhead
per
unit
$
©0.65
$
0.65
Fixed
factory
overhead
$1,290
$1,290
Variable
marketing
per
unit
$
0.80
$
0.80
Fixed
Selling
and
Administrative
$
650
$
650
T
Variable
costing
operating
income
for
2019
is
calculated
to
be:
Multiple
Choice
Q
$850.
@
o
5
O
Companies
use
the
balanced
scorecard
to
describe
strategy
in
detail
through
the
use
of
a
cause-and-effect
diagram
which
is
also
known
as
a(n):
Multiple
Choice
2/2
points
awarded
‘
Strategy
Map.
Operational
Work-through.
Organizational
Diagram.
Performance
Flowchart.
Status
Diagram.
o O
O
O
