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Questions -
Q1. Fitchburg Industries' budgeted sales were 400 units at $200. Actual sales were 500 units at $225. Variable cost per unit is $48. What is the total revenue variance?
a. $32,500 (F)
b. $12,500 (F)
c. $48,000 (U)
d. $80,000 (U)
Q2. Albertville uses a standard cost system for each of its refineries. For the Louisiana refinery, the monthly fixed overhead budget is $8,000 for a planned output of 5,000 barrels. For September, the actual fixed cost was $8,750 for 5,100 barrels. The fixed overhead flexible (spending) budget variance is?
a. $750 U
b. $800 U
c. $875 F
d. $1,500 F
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