When calculating cost variances under a standard costing system we must:

Related MCQs

• ----------- in Activity Based Costing is like ‘cost centre’ in traditional costing.
• Which of the following is NOT a criticism of a standard-costing system?
• The firm’s direct-labour rate variance was 4,800 unfavourable. Actual labour was 24,000 direct-labour hours, at a cost of 1,68,000, for 25,000 units of finished product that require 1 hour of direct labour each, at standard. What is the standard rate per direct-labour hour?
• In August actual material used amounted to 5,650 kg, budgeted output was 1,000 units and standard material usage was 5 kg per unit. Actual output was 1,075 units. If the standard material cost of each product is 25 the material efficiency variance will be:
• Which of the following is not an advantage of standard costing?
• Accumulated cost of an activity called------------ in Activity based costing.
• The formula for calculating the variable overhead total variance is:
• The formula for calculating the fixed overhead volume variance is:
• The standard cost of a product is:
• Which of the following cost classification categories is almost identical to a relevant cost?