FiltersDone

Question type

Essay

Multiple Choice

Short Answer

True False

Matching

Exam 29: Controlling Manufacturing Costs: Standard Costs

Show Answer

Share

---

All types

Filters

Study FlashcardsPractice ExamLearn

Question 31

Multiple Choice

Review LaterAdd Note

Review Later

The flexible budget usually shows

A) only fixed costs.
B) only variable costs.
C) fixed and variable costs separately.
D) fixed and variable costs together.

E) None of the above
F) A) and B)

Correct Answer

verified

Show Answer

Question 32

Multiple Choice

Review LaterAdd Note

Review Later

Direct factory labor is usually considered to be

A) a semi-variable cost.
B) a fixed cost.
C) a variable cost.
D) a mixed cost.

E) None of the above
F) A) and B)

Correct Answer

verified

Show Answer

Question 33

Multiple Choice

Review LaterAdd Note

The following production information is available for January: The direct materials price variance is:

Better Blankets, Inc. makes a SnuggieBlank using flannel material and trim binding. They have instituted a successful JIT system and thus no longer have to stock inventory prior to their production need. The Standard Cost Card for The SnuggieBlank model is shown. STANDARD COST CARD The company reported the following results concerning January: - The material price variance for Flannel used in January is:

In a factory, the total variable costs are $1,100 if 500 units are produced. If 400 units are produced, the total variable costs would be

In a factory, the fixed costs are $7,200 when 600 units are produced. If 900 units are produced, the fixed costs per unit would be

The Costmore Company uses standard costing and has established the following standards for direc materials and direct labor for each unit it makes: $\begin{array}{ll}\text { Direct Materials } & 3 \text { gallons at } \$ 5 \text { per gallon } \\\text { Direct Labor } & 1 \text { hour at } \$ 12 \text { per hour }\end{array}$ During July, the company made 4,000 units of product and used 13,000 gallons. The actual price paid for materials was $5.20 per gallon. Direct Labor used was 3,600 hours and workers were paid $11.75 per hour. An analysis would indicate

Deducting the total variable cost from the total cost results in the

Semi-variable costs are sometimes called mixed costs.

The standard quantity of materials for a product was 62 pounds per unit at the standard price of $3) 10 per pound. The actual price per pound of materials was $3.25, and the actual quantity used was 67 pounds. An analysis would indicate

Costs are expected to behave in a similar manner within a relevant range of activity.

A budget performance report compares actual costs for a period with the budgeted costs for that period.

Petersen Company produces a single product with the following production and average cost data: - The best estimate of the variable cost per unit is:

As the level of activity increases, the total variable costs for the period

The setting of standard wage rates is usually a function of the Human Resources department.

Costs that do not vary in total during a period even though the volume of manufacturing activity changes are called----------- costs.

A material usage variance is calculated as:

The high-low point method results can be misleading if the activity is not reflective of the normal activity.

Match the following descriptions with the appropriate term.

The manufacturing cost budget will include both variable and fixed manufacturing costs.