With respect to overhead, what is the difference between normal costing and standard costing?

Select one:

a. Use of a predetermined overhead rate.

b. Use of standard hours versus actual hours.

c. Use of a standard rate versus an actual rate.

d. The choice of an activity measure.

e. There is no difference.

Question 7

Enberg Company, which applies overhead to production on the basis of machine hours, reported the following data for the period just ended: Actual units produced: 14,800 Actual fixed overhead incurred: $791,000 Standard fixed overhead rate: $13 per hour Budgeted fixed overhead: $780,000 Planned level of machine-hour activity: 60,000 If Enberg estimates four hours to manufacture a completed unit, the company's fixed-overhead volume variance would be:

Select one:

a. $10,400 favorable.

b. $10,400 unfavorable.

c. $11,000 favorable.

d. $11,000 unfavorable.

e. some other amount.

Question 8

What is the most common treatment of the fixed-overhead budget variance at the end of the accounting period?

Select one:

a. Reported as a deferred charge or credit.

b. Allocated among Work-in-Process Inventory, Finished-Goods Inventory, and Cost of Goods Sold.

c. Charged or credited to Cost of Goods Sold.

d. Allocated among Cost of Goods Manufactured, Finished-Goods Inventory, and Cost of Goods Sold.

e. Charged or credited to Income Summary.

Question 9

The chief managerial and financial accountant of an organization is the:

Select one:

a. chief executive officer (CEO)

b. treasurer

c. vice-president of accounting

d. internal auditor

e. chief financial officer (CFO)

Question 10

Which of the following typically does not relate to the role of a controller?

Select one:

a. A controller supervises the accounting department

b. A controller safeguards an organization's assets

c. A controller oversees the preparation of reports required by governmental authorities

d. A controller normally assumes a narrow role within the organization, often preventing the individual's rise to top management ranks

e. Choices "B" and "D" above