Top Posters
Since Sunday
a
5
k
5
c
5
B
5
l
5
C
4
s
4
a
4
t
4
i
4
r
4
r
4
Home Q & A Board Other Fields Homework Help Business Accounting
New Topic  
Deprecated Deprecated
wrote...
Go to Answer
Posts: 2784
Rep: 104 0
7 years ago
Cheapo Sales Company uses a standard cost system. Overhead costs are allocated based on direct labor hours. In the first quarter, Cheapo Sales had a favorable efficiency variance for variable overhead costs. Which of the following scenarios is a reasonable explanation for this variance?
A) The actual number of direct labor hours was lower than the budgeted hours.
B) The actual variable overhead costs were lower than the budgeted costs.
C) The actual number of direct labor hours was higher than the budgeted hours.
D) The actual variable overhead costs were higher than the budgeted costs.
Textbook 
Horngren's Financial & Managerial Accounting, The Financial Chapters

Horngren's Financial & Managerial Accounting, The Financial Chapters


Edition: 5th
Authors:
Read 433 times
2 Replies
Replies
Answer verified by a subject expert
TanksTanks
wrote...
#1
Top Poster
Posts: 1274
Rep: 237 0
7 years ago
Sign in or Sign up in seconds to unlock everything for free
More solutions for this book are available here
1

Related Topics

Deprecated Author
wrote...
#2
7 years ago
Makes perfect sense, thx
New Topic      
Quick Reply
Explore
Post your homework questions and get free online help from our incredible volunteers
  1246 People Browsing
 121 Signed Up Today
Start New Topic Take the Tour CoursesNew Study Tools Topics Trending Browse by Textbook
Related Images
  
 1347
  
 640
  
 348
Your Opinion
Which industry do you think artificial intelligence (AI) will impact the most?
Votes: 352
Previous poll results: Which is the best fuel for late night cramming?