GARRISON MANAGERIAL
ACCOUNTING 12TH EDITION 2026
ACCOUNTING SCRIPT SOLVED
QUESTIONS VERIFIED ANSWERS A+
◉ Tysor Framing's cost formula for its supplies cost is $1,020 per month
plus $12 per frame. For the month of July, the company planned for
activity of 612 frames, but the actual level of activity was 602 frames.
The actual supplies cost for the month was $8,100.
The spending variance for supplies cost in July would be closest to?
$144 U
$144 F
$264 F
$264 U.
Answer: 144 F
◉ The following labor standards have been established for a particular
product:
Standard labor-hours per unit of output 8.5 hours
Standard labor rate $12.30 per hour
,The following data pertain to operations concerning the product for the
last month:
Actual hours worked 6,300 hours
Actual total labor cost $74,970
Actual output 800 units
What is the labor efficiency variance for the month?
$8,670 F
$8,670 U
$5,950 F
$6,150 F.
Answer: 8,670 F
◉ Bracamonte Hospital bases its budgets on patient-visits. The hospital's
static planning budget for November appears below:
Budgeted number of patient-visits 9,000
Budgeted variable costs:
Supplies (@ $8.51 per patient-visit) $ 76,590
Laundry (@ $8.01 per patient-visit) 72,090
Budgeted fixed costs:
,Wages and salaries 99,000
Occupancy costs 80,300
Total expense $ 327,980.
Answer: BRACAMONTE HOSPITAL
Flexible Budget
Actual patient-visits 9,500
Supplies $80,845
Laundry 76,095
Wages and salaries 99,000
Occupancy costs 80,300
Total expense $336,240
◉ A favorable materials quantity variance occurs when the actual
quantity used in production is less than the standard quantity allowed for
the actual output of the period.
True or False.
Answer: true
◉ Purchase of poor quality materials may cause a favorable materials
price variance and an unfavorable labor efficiency variance.
, True or False.
Answer: true
◉ Comparing actual results to a budget based on the actual activity for
the period is possible with the use of a?
monthly budget.
master budget.
flexible budget.
rolling budget..
Answer: flexible budget
◉ A static planning budget is?
a budget for a single level of activity.
a budget that ignores inflation.
used only for fixed costs.
used when the mix of products does not chang.
Answer: a budget for a single level of activity.
◉ The variance that is usually most useful in assessing the performance
of the purchasing department manager is?
ACCOUNTING 12TH EDITION 2026
ACCOUNTING SCRIPT SOLVED
QUESTIONS VERIFIED ANSWERS A+
◉ Tysor Framing's cost formula for its supplies cost is $1,020 per month
plus $12 per frame. For the month of July, the company planned for
activity of 612 frames, but the actual level of activity was 602 frames.
The actual supplies cost for the month was $8,100.
The spending variance for supplies cost in July would be closest to?
$144 U
$144 F
$264 F
$264 U.
Answer: 144 F
◉ The following labor standards have been established for a particular
product:
Standard labor-hours per unit of output 8.5 hours
Standard labor rate $12.30 per hour
,The following data pertain to operations concerning the product for the
last month:
Actual hours worked 6,300 hours
Actual total labor cost $74,970
Actual output 800 units
What is the labor efficiency variance for the month?
$8,670 F
$8,670 U
$5,950 F
$6,150 F.
Answer: 8,670 F
◉ Bracamonte Hospital bases its budgets on patient-visits. The hospital's
static planning budget for November appears below:
Budgeted number of patient-visits 9,000
Budgeted variable costs:
Supplies (@ $8.51 per patient-visit) $ 76,590
Laundry (@ $8.01 per patient-visit) 72,090
Budgeted fixed costs:
,Wages and salaries 99,000
Occupancy costs 80,300
Total expense $ 327,980.
Answer: BRACAMONTE HOSPITAL
Flexible Budget
Actual patient-visits 9,500
Supplies $80,845
Laundry 76,095
Wages and salaries 99,000
Occupancy costs 80,300
Total expense $336,240
◉ A favorable materials quantity variance occurs when the actual
quantity used in production is less than the standard quantity allowed for
the actual output of the period.
True or False.
Answer: true
◉ Purchase of poor quality materials may cause a favorable materials
price variance and an unfavorable labor efficiency variance.
, True or False.
Answer: true
◉ Comparing actual results to a budget based on the actual activity for
the period is possible with the use of a?
monthly budget.
master budget.
flexible budget.
rolling budget..
Answer: flexible budget
◉ A static planning budget is?
a budget for a single level of activity.
a budget that ignores inflation.
used only for fixed costs.
used when the mix of products does not chang.
Answer: a budget for a single level of activity.
◉ The variance that is usually most useful in assessing the performance
of the purchasing department manager is?
