1. Which of the following is a purpose of standard costing?
A. Eliminate the need for subjective decisions by management.
B. Improve performance by controlling costs.
C. Determine breakeven production level.
D. Allocate cost with more accuracy.
2. As of the beginning of the quarter, you have a cash balance of $250. During the quarter you pay your suppliers $310. Your accounts receivable collections are $420. You also pay an interest payment of $30 and a tax bill of $180. In addition, you borrow $75. What is your cash balance at the end of the quarter?
$225
$245
$255