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The following data are for the Portland division:

ROI 24%
Stockholder's equity \$200,000
Net operating income \$288,000
Turnover 2
Sales ?

Sales were:

a.) \$750,000
b.) \$2,000,000
c.) \$3,846,154
d.) \$2,400,000

The controller of whitewater hospital estimates the amount of overhead costs that should be allocated to patients using the data below:

Total number of patients 1,000
Total number of bills 2,500
Expected nursing hours per patient 150

Data for two patients is shown below:

Nursing number
Patient time of bills
James 100 hours 2
Mary 60 hours 3

The patient care costs for the year are expected to total \$900,000. If the patient care cost is allocated on the basis of number of nursing hours, how much of the total cost should be allocated to James?

a.) \$600
b.) \$900
c.) \$562,500
d.) \$600,000

In a certain standard costing system direct labor hours are sued as the base for applying variable manufacturing overhead costs. The standard direct labor rate is twice the variable manufacturing overhead rate. Last period the labor efficiency variance was unfavorable from this information one can conclude:

a.) That last period the variable overhead efficiency variance was unfavorable.
b.) That last period the variable overhead efficiency was favorable
c.) Nothing because labor and overhead variances are not related.

Holiday Chemical company uses a standard cost system to collect costs related to the production of its "bowling ball" fruitcakes. Assume that 7 ounces of pecans are included in each fruitcake. Because Holiday wants only the best pecans in its cakes, the pecans they buy are inspected and some are discarded as unacceptable for cake production. The loss rate is expected to be 1 ounce of pecans for every 5 ounces inspected. Under traditional standard costing, how many ounces of pecans should Holiday use as a standard quantity per fruitcake?

a.) 7.2
b.) 7.8
c.) 8.4
d.) 8.75

Coblentz fabrication corp has a standard cost system in which it applies manufacturing overhead to products on the basis of standard machine hours (MHs). The comapnay's cost formula for variable manufacturing overhead is \$6.20 per MH. The company had budgeted its fixed manufacturing overhead cost at \$40,000 for the month. During the month, the actual total variable manufacturing overhead was \$48,970 and the actual total fixed manufacturing overhead was \$43,000. The actual level of activity for the period was 8,300 MHs. What was the fixed overhead budget variance for the month?

a.) \$2,490 favorable
b.) \$2,490 unfavorable
c.) \$3,000 favorable
d.) \$3,000 unfavorable
Sperazza corp produces large commercial doors for warehouses and other facilities. In the most recent month, the company budgeted production of 4,900 doors. Actual production was 5,300 doors. According to standards, each door requires 6.4 machine hours. The actual machine hours for the month were 34,340 machine hours. The budgeted supplies cost is \$3.10 per machine hour. The actual supplies cost for the month was \$99,331. The variable overhead efficiency variance for supplies cost is:
a.) \$5,821 F
b.) \$5,821 U
c.) \$1,302 U
d.) \$1,302 F

\$2.19