Price and Efficiency Variance Notes Questions with Answers PDF Download – Test 95

MCQ 471: In cost accounting, the goal of variance analysis is to:

1. understand variance reason
2. improve future performance
3. learning of improvement
4. all of above

MCQ 472: If the contribution margin per unit is $1000 and the contribution margin percentage is 25%, then the selling price would be:

1. $2,500
2. $4,000
3. $3,800
4. $3,800

MCQ 473: If an actual indirect cost incur is $35000 and the indirect cost allocated is $43000, then the under allocated indirect cost will be:

1. $78,000
2. −$78000
3. −$8000
4. $8,000

MCQ 474: In activity based costing system, the description of activity can be classified as:

1. activity list
2. activity dictionary
3. active purpose
4. both a and b

MCQ 475: The method, which uses specific information on products as weights to allocate bundled revenues for each product in bundle is classified as:

1. step down allocation method
2. stand-alone revenue allocation method
3. incremental revenue allocation method
4. revenue mix allocation method