Overhead Cost Variance Analysis Multiple Choice Questions with Answers – PDF Download

MCQ 1: A measure which evaluates overall tradeoff and effect among non-financial performance measure is:

1. non-financial measures
2. financial measures
3. effective measure
4. lump sum measure

MCQ 2: In overhead cost variance analysis, the variable overhead does not include:

1. favorable volume variance
2. profit volume variance
3. cost volume variance
4. production volume variance

MCQ 3: The measure which provides the feedback on manager's performance, considering individual aspects only is classified as:

1. effectively measure
2. lump sum measure
3. non-financial measures
4. financial measures

MCQ 4: In overhead cost variance analysis, the fixed overhead does not include:

1. efficiency variance
2. unfavorable variance
3. production volume variance
4. favorable variance

MCQ 5: If an actual variable quantity is 70, the actual and budgeted overhead cost of allocation is $8650 and $3500 respectively, then the variable overhead spending variance will be:

1. $660,500
2. $560,500
3. $460,500
4. $360,500