Multiple Choice Questions. Please help.

____ 26. A formal written statement of management's plans for the future, expressed in financial terms, is a:

a.	gross profit report
b.	responsibility report
c.	budget
d.	performance report

____ 27. The standard costs and actual costs for direct materials for the manufacture of 2,500 actual units of product are as follows:

Standard Costs
Direct materials	2,500 kilograms @ $8
Actual Costs
Direct materials	2,600 kilograms @ $8.75

The amount of the direct materials quantity variance is:

a.	$875 favorable
b.	$800 unfavorable
c.	$800 favorable
d.	$875 unfavorable

____ 28. JSW Co. has an operating leverage of 4. Sales are expected to increase by 8% next year. Operating income is:

a.	unaffected
b.	expected to increase by 2%
c.	expected to increase by 32%
d.	expected to increase by 4 times

____ 29. Standards that represent levels of operation that can be attained with reasonable effort are called:

a.	theoretical standards
b.	ideal standards
c.	variable standards
d.	normal standards

____ 30. The three most common cost behavior classifications are:

a.	variable costs, product costs, and sunk costs
b.	fixed costs, variable costs, and mixed costs
c.	variable costs, period costs, and differential costs
d.	variable costs, sunk costs, and opportunity costs