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Question
Curvilinear costs always increase:
A. With decreases in volume.
B. In constant proportion to changes in production levels.
C. When management performs break-even analysis.
D. When volume increases, but not at a constant rate.
E. On a per unit basis when volume of activity goes down.
Answer
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Related questions
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What are the four steps in the effective management of variance analysis?
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243,000 lbs. Actual finished units produced
40,000 units Actual cost of direct materials used
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E. Not used.
Q:
Adams, Inc. uses the following standard to produce a single unit of its product: overhead (2 hrs. @ $3/hr.) $ 6. The flexible budget for overhead is $100,000 plus $1 per direct labor hour. Actual data for the month show overhead costs of $150,000, and 24,000 units produced. The overhead volume variance is:
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Q:
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Product B Sales............................................................
$80,000
$96,000 Direct materials............................................................
3,000
6,000 Direct labor............................................................
30,000
45,000 Other cash operating expenses............................................................
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