Fill in the Blanks


1		The variance is the two overhead spending variances combined with the variable overhead efficiency variance.


2		The difference between the actual incurred cost and the standard amount is called the variance.


3		A variance occurs when the budgeted amount is less than the actual amount, and the variance reduces costs or increases revenues.


4		A budget is a planning budget based on a single predicted amount of sales or production volume.


5		A budget is prepared after an operating period is complete in order to help managers evaluate past performance.


6		An internal report that compares actual revenue and cost amounts with their variable budgeted amounts and identifies the differences between them as favourable or unfavourable variances is called a flexible budget report.


7		Management by is an analytical technique used by management to focus on the most significant variances and give less attention to the areas where performance is close enough to the standard to be satisfactory.


8		The difference between the total overhead cost applied to products and the total overhead cost actually incurred at the end of a cost period is called the overhead cost .


9		A difference between actual and budgeted revenue or cost caused by the difference between the actual price per unit and the budgeted price per unit is called a variance.


10		The difference between actual and budgeted revenue or cost caused by the difference between the actual number of units sold or used and the budgeted number of units is called a variance.


11		A variance occurs when management pays more or less than the budgeted price or amount to acquire the overhead items.


12		costs are the costs that should be incurred under normal conditions to produce a specific product or component or to perform a specific service.


13		A variable overhead variance occurs when the standard direct labour hours (the allocation base) allowed for actual production is different from the actual direct labour hours consumed.


14		A process of examining the differences between actual and budgeted revenues or costs and describing them in terms of the amounts that resulted from price and quantity differences is called variance .


15		The difference between the total budgeted overhead cost and the overhead cost allocated (applied) to products using the predetermined fixed overhead rate is called the variance.


16		is the use of budgets by management to monitor and control the operations of a company.


17		variance is the difference between the total overhead cost applied to products and the total overhead cost actually incurred at the end of a cost period.


18		An is the quantity of material required if the process were 100% efficient without any loss or waste.


19		A is the quantity of material required under normal application of the process.

Your Results:

E-mail Your Results