SOLVED

21) An organization planned to use $44 of material per unit of activity but it actually used $42 of material per unit of activity, and it planned to make 1,200 units but it actually made 1,000 units. The flexible budget amount for materials is: A) $42,000. B) $44,000. C) $48,000. D) $49,400. 22) An organization planned to use $44 of material per unit of activity but it actually used $42 of material per unit of activity, and it planned to make 1,200 units but it actually made 1,000 units. The flexible budget variance for materials is: A) $2,000 favorable. B) $14,000 unfavorable. C) $16,400 unfavorable. D) $2,400 favorable. 23) An organization planned to use $44 of material per unit of activity but it actually used $42 of material per unit of activity, and it planned to make 1,200 units but it actually made 1,000 units. The planning variance is: A) $2,000. B) $8,800. C) $16,400. D) $2,400. 24) The best label for the formula (AQ – SQ) × SP is the: A) materials quantity variance. B) materials price variance. C) total cost variance for materials. D) labor wage rate variance. 25) The best label for the formula (AP – SP) × AQ is the: A) materials quantity variance. B) materials price variance. C) total cost variance for materials. D) labor efficiency variance. 26) The best label for the formula [(AP) × (AQ) – (SP) × (AQ)] is the: A) materials quantity variance. B) materials price variance. C) total cost variance for materials. D) labor efficiency variance. 27) The best label for the formula [(AP) × (AQ) – (SP) × (SQ)] is the: A) materials quantity variance. B) materials price variance. C) total cost variance for materials. D) labor efficiency variance. 28) August’s direct material cost variance was: A) $1,960 unfavorable. B) $600 favorable. C) $1,360 unfavorable. D) None of the above is correct. 29) August’s direct material price variance was: A) $1,960 unfavorable. B) $600 favorable. C) $1,360 favorable. D) None of the above is correct. 30) August’s direct material quantity variance was: A) $1,960 unfavorable. B) $600 favorable. C) $1,360 favorable. D) None of the above is correct.