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NEW QUESTION 50
Collins Corporation manufactures its products in a highly automated, just-in-time environment and uses a standard cost system. The variance that would cause the least concern would be a

  • A. 12% unfavorable variable overhead spending variance caused by keeping equipment running during times when there is no production activity
  • B. 6% unfavorable fixed overhead volume variance caused by work stoppages because of missing parts
  • C. 30% unfavorable direct labor efficiency variance caused by idle time while waiting for goods to be received from a previous manufacturing department
  • D. 9% unfavorable material price variance caused by changing to a supplier that would support the company’s just-in-time needs.

Answer: D

 

NEW QUESTION 51
Which one of the following represents a temporary difference under U.S GAAP?

  • A. Fines and expenses resulting from violation of the law
  • B. Accrued liabilities
  • C. interest received in municipal bonds
  • D. Percentage depletion of natural resources

Answer: B

 

NEW QUESTION 52
If a company s disaster recovery planning includes the use of a cold site the company will

  • A. restart its IT operations using the real-time mirroring performed at the cold site
  • B. restore its IT function after equipment is made ready at a site with prewired IT access
  • C. resume Its business processes immediately at a remote site with no preinstalled equipment
  • D. relaunch its major business processes from a site with preinstalled equipment

Answer: B

 

NEW QUESTION 53
A new restaurant chain has installed a new restaurant management system. However many employees have complained that the restaurant management system is not user-friendly and has caused many customer service issues. Which one of the following may help to improve system performance?

  • A. Exploratory data analysis
  • B. Business process analysis
  • C. Sensitivity analysis
  • D. CVP analysts

Answer: B

 

NEW QUESTION 54
……

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