Author Question: When machine-hours are used as an overhead cost-allocation base and annual leasing costs for ... (Read 126 times)

Alainaaa8 · **on:** Mar 6, 2021

Question 1

The amount reported for fixed overhead on the static budget is also reported ________.
◦ as actual fixed costs
◦ as allocated fixed overhead costs
◦ as flexible budget costs
◦ as committed variable costs

Question 2

When machine-hours are used as an overhead cost-allocation base and annual leasing costs for equipment unexpectedly increase, the most likely result would be to report a(n) ________.
◦ unfavorable variable overhead spending variance
◦ favorable variable overhead efficiency variance
◦ unfavorable fixed overhead flexible-budget variance
◦ favorable production-volume variance

kishoreddi · **Reply #1 on:** Mar 6, 2021

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