1.The fixed factory overhead application rate (for product-costing purposes) is equal to:
a.The denominator activity divided by budgeted fixed factory overhead.
b.The denominator activity divided by budgeted variable factory overhead.
c.Budgeted variable factory overhead divided by denominator activity.
d.Budgeted fixed factory overhead divided by budgeted variable factory overhead.
e.Budgeted fixed factory overhead divided by denominator activity.
2.The difference between the actual fixed overhead cost incurred during a period and the budgeted fixed overhead cost for the period is the:
a.Fixed overhead efficiency variance.
b.Fixed overhead production-volume variance.
c.Fixed overhead spending variance.
d.Fixed overhead rate variance.
e.Fixed overhead sales-volume variance.
3.Which one of the following journal entries in a standard cost system is needed to record the completion of production for the period?
a.A debit to WIP Inventory at standard cost.
b.A debit to WIP Inventory at actual cost.
c.A credit to Cost of Goods Sold at standard cost.
d.A debit to Finished Goods Inventory at standard cost.
e.A debit to Finished Goods Inventory at actual cost.