Management practice where only significant variances in each area of operation are given significant attention. What is the answer? a. management by objective b. management by exception c. responsibility accounting d. management control

Q: The management of Al Safa Production LLC requested you to identify from the following how direct…

A: Standard costing means where standard is set for various cost element and actual cost is then…

Q: A company using direct costing in its performance evaluation would normally include the following…

A: Direct costing refers to the concept of evaluating the cost or expenses by only considering the…

Q: Question 16, In using variance reports, management looks for more efficient ways of valuing…

A: Solution:- Variance reports:- A Variance report is a document that compares planned financial…

Q: how the purchasing department manager may achieve a favourable direct material pricing variance…

A: Variance analysis: Variance analysis can be defined as the study of difference between the budgeted…

Q: In what management practice control sheets would be least likely used

A: The management of the company is responsible for taking the material decision for the company. The…

Q: significant of variance analysis in cost management.

A: Variance analysis is a tool in cost management to compare and analyze variations in budgeted costs…

Q: Responsibility reports should be simple, show variances between the budgeted and actual amounts of…

A: Responsibility reports is a system of preparation of reports for each level of responsibility in the…

Q: hat ty

A: Variance analysis is a summary statement which demonstrate the difference between planned…

Q: The evaluation of performance of a certain business branch is of insignificant value to Select the…

A: A flexible budget is a budget that varies with the changes in actual revenue levels. Basically, this…

Q: computed in requirements 1 and 2. Was the new service a success from an overall cost-control…

A: It is  important to understand the reason of variance and the nature of various that will affect…

Q: Explain what is meant by the term management by exception. What is the relationship between the…

A: Management by exception: Under this style of management, employees are allowed to take decisions…

Q: Create a narrative explanation for the variances. Create a scenario, context, or circumstance that…

A: Variance is the difference between two figures. One figure is the actual and another one is the…

Q: Describe how flexible-budget variance analysis can be used in the control of costs of activity…

A: Flexibe-budget variance:

Q: When would a static budget be effective in evaluating a manager performance

A: We know that budgeting is a planning tool through with entities define a predefined target for…

Q: 1) Explain how standard costs are established? How do managers evaluate performance using cost…

A: Since you have asked multiple questions, we will solve the first question for you. If you want any…

Q: Determine the most accurate statement about variances. Unfavorable variances normally have a credit…

A: Variance: A variance is defined as the difference between a budgeted, planned, or standard cost and…

Q: Which of the following is not a reason standard costs are separated into two components?…

A: Standard cost: In the accounting records, the term standard cost refers to the practice of…

Q: Material price variances are often isolated at the time materials are purchased, rather than when…

A: A variance is the difference between standard and actual performance. In case of expense, variance…

Q: When management uses variance reports to evaluate cost control, they look into which of the…

A: Standard costing means where standard is set for various cost element and actual cost is then…

Q: How might a manager gain insight into the causes of a flexible-budget variance for direct materials?

A: Variance is the difference in the value of budgeted cost\quantity and the actual cost\quantity.…

Q: standard cost

A: Standard cost systems are cost accounting systems in which standard is set for each item of cost and…

Q: A difference between standard costs used for cost control and budgeted costs       Can exist because…

A: Standard costs refer to the concept of determining the expenses actually incurred while processing a…

Q: In gross profit analysis, a favorable cost of sales variance that includes an unfavorable cost…

A: A favorable variance happens when the cost to produce is less than the budgeted cost. It means a…

Q: The differences between actual and budgeted figures are known as type your answer... 2 Which of the…

A: 1. The difference between actual figures and budgeted figures are knows as Variance.

Q: What is the relationship between management by exception and variance analysis?

A: Management by Exception: Management by exception is the process of finding the deviations in the…

Q: What should be the organizational purpose for identifying and calculating variances?

A: Management accounting:   It is the process of preparing the reports of a business operations helping…

Q: Explain how standard costs are established? How do managers evaluate performance using cost variance…

A: Standard costs are those predetermined costs which the company is expected to incur on goods or…

Q: variance in its report, except

A: A company using direct costing in its performance evaluation would normally include the following…

Q: “Overhead variances should be viewed as interdependent rather than independent.” Give an example.

A: Overhead variance: It refers to that difference amount which is computed by deduction of actual…

Q: The budgeted variable selling, and administrative expense is calculated by multiplying the budgeted…

A: Answer: False, The budgeted selling Variable expense is computed on the Budgeted sale units but the…

Q: Which of the following statement(s) is/are true regarding standard costs and cost variances?

A: In standard costing, experts set standard for production, labor, overhead, sales and profit. Using…

Q: Standard Costing and Variance Analysis Standard cost systems set budgets for the materials, labor,…

A: Standard costing is a costing strategy for establishing performance standards that allow firms to…

Q: Which of the following is the basic purpose of a responsibility accounting?a. variance analysisb.…

A: Definition: Responsibility accounting: The management of responsibility centers by the means of…

Q: Further analyze harlows revised variances, isolating underlying potential casual factors.  How do…

A: 1.Direct material Price variance =(Std. Price/qty.-Actual price/qty)*Actual qty. 2. Direct material…

Q: Which of the following statements is true of performance​ reporting?   A. Responsibility reports…

A: Performance reporting refers to a process of reporting the performance of any particular thing. It…

Q: In the executing stage of management cycle, managers check for variances, between budgets and actual…

A: The primary objective of Executing phase is to construct deliverables as per the master project plan…

Q: When variances have been determined, management should, decide whether each variance is sufficiently…

A: Variance analysis is usually undertaken by manufacturing organizations that involve direct…

Q: What does the concept of ‘management by exception’ mean and what factors are considered when…

A: Management by exception is a technique used in management information system.

Q: management by exception”

A: Management by exception is used when there are substantial deviations between the desired and actual…

Q: Which of the following statements is false?   Standard costs (e.g., how much should be paid for…

A: Statement 1 is true, because standard costs are considered as benchmarks for measuring performance.