QUESTION: 177 Exam Topic: 2, Exam Pool B

Refer to the exhibit.

The standard variable cost per unit of Product W is $26. The budgeted sales of Product W in April was 3,300 units. The company recorded the following variances for the month of April:

During April 3,600 units of Product W were actually sold.

What was the actual sales revenue for Product W in April?

$108,000
$111,900
$111,300
$115,200

Answer(s): C

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QUESTION: 178 Exam Topic: 2, Exam Pool B

CORRECT TEXT

Eton Ltd. operates a manufacturing process that produces product A. Information for this process last month is as follows:

(a) Opening work in progress - 2,500 kg valued at £2,000 for direct material and £1,500 for labour and overheads.

(b) Materials input - 25,000 kg at £2.10 per kg.

(c) Labour - £10,000

(d) Overheads - £5,000

(e) Output during the month - 20,000 kg

(f) There were 7,500 units of closing work in progress which was complete as to materials and 30% complete as to conversion.

(g) Normal loss for the month was 3% of input and all losses have a scrap value of £1 per kg.

What was the value of closing work in progress at the end of the month (to the nearest £)?

£16793

Answer(s): A

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QUESTION: 179 Exam Topic: 2, Exam Pool B

CORRECT TEXT

Refer to the exhibit.

A company manufactures and sells a single product which has the following cost and selling price structure:

The fixed overhead absorption rate was based on normal capacity of 1800 units per month.

The budgeted break-even point in sales units per month is units.