D196 - OA Prep - Practice questions ACTUAL UPDATED QUESTIONS AND
CORRECT ANSWERS
What budget includes corporate office expenses? B. Selling and Administrative Expense Budget
A. Manufacturing Budget
B. Selling and Administrative Expense Budget
Insurance policy on office building B. Period Cost
A. Product Cost
B. Period Cost
What budget is used for large corporate purchases? B. Capital Budget
A. Sales Budget
B. Capital Budget
, What budget is usually the last budget prepared? B. Budgeting Balance Sheet
A. Budgeted Income Statement
B. Budgeting Balance Sheet
What budget is the first budget prepared? A. Sales Budget
A. Sales Budget
B. Production Budget
What budget includes information on the cost of B. Direct Materials Budget
materials?
A. Finished Goods Budget
B. Direct Materials Budget
What budget includes information on the depreciation of A. Manufacturing Budget
factory equipment?
A. Manufacturing Budget
B. Selling and Administrative Budget
What budget helps with inventory control? B. Finished Goods Budget
A. Production Budget
B. Finished Goods Budget
What budget shows revenues? A. Sales Budget
A. Sales Budget
B. Selling and Administrative Budget
What budget uses the rate of pay for assembly line B. Direct Labor Budget
workers?
A. Direct Material Budget
B. Direct Labor Budget
What is an unfavorable cost variance? B. A difference between the actual cost and the budgeted cost where the actual
cost is more than the budgeted amount.
A. A difference between the actual cost and the
budgeted cost where the actual cost is less than the
budgeted amount.
B. A difference between the actual cost and the
budgeted cost where the actual cost is more than the
budgeted amount.
CORRECT ANSWERS
What budget includes corporate office expenses? B. Selling and Administrative Expense Budget
A. Manufacturing Budget
B. Selling and Administrative Expense Budget
Insurance policy on office building B. Period Cost
A. Product Cost
B. Period Cost
What budget is used for large corporate purchases? B. Capital Budget
A. Sales Budget
B. Capital Budget
, What budget is usually the last budget prepared? B. Budgeting Balance Sheet
A. Budgeted Income Statement
B. Budgeting Balance Sheet
What budget is the first budget prepared? A. Sales Budget
A. Sales Budget
B. Production Budget
What budget includes information on the cost of B. Direct Materials Budget
materials?
A. Finished Goods Budget
B. Direct Materials Budget
What budget includes information on the depreciation of A. Manufacturing Budget
factory equipment?
A. Manufacturing Budget
B. Selling and Administrative Budget
What budget helps with inventory control? B. Finished Goods Budget
A. Production Budget
B. Finished Goods Budget
What budget shows revenues? A. Sales Budget
A. Sales Budget
B. Selling and Administrative Budget
What budget uses the rate of pay for assembly line B. Direct Labor Budget
workers?
A. Direct Material Budget
B. Direct Labor Budget
What is an unfavorable cost variance? B. A difference between the actual cost and the budgeted cost where the actual
cost is more than the budgeted amount.
A. A difference between the actual cost and the
budgeted cost where the actual cost is less than the
budgeted amount.
B. A difference between the actual cost and the
budgeted cost where the actual cost is more than the
budgeted amount.
