BEC CPA 6 Flashcards
Sales Volume variance explanation
variance that arises solely because the quantity actually sold differs from the quantity budgeted to be sold
Flexible budget OH variance
Budgeted fixed OH
Plus: Variable OH ($/hour x hours x actual units)
Less: Actual OH spent
Under an oligopoly structure, strategic plans focus on:
Maintaining the market share, ensuring product differentiation, and adapting to changes in price and/or production volume
Residual income equation
Operating income
Less: invested caption (sales / capital turnover x interest rate)
ETL process, if a user must use advanced data mining software and tim-intensive queries to obtain info, the user is performing a:
Manual extraction
An accounting system that collects financial and operating data on the basis of the underlying nature and extent of the cost driver
Activity-based costing
When risks of the individual components of a project’s cash flows are different, an acceptable procedure to evaluate these cash flows is to:
Discount each cash flow using a discount rate that reflects the degree of risk
Residual income equation
Actual income (sales x return on sales % - requirement income ((sales / asset turnover) x interest rate)
If a product’s demand is elastic and there is a decrease in price, the effect will:
Increase the total revenue
Under monopolistic competition, strategic plans focus on:
Maintaining the market share and planning for enhanced product differentiation
An acquisition that would provide ancillary support (a company buying a shipping company to cut shipping costs) is considered:
A diagonal combination
Boxplot
Data visualization can be categorized into pictorials, communicating qualitative (categorical in nature (ABC)) and quantitative data (numerical in nature (1 2 3 )
Productivity Ratios
Total productivity ratios (TPR) consider all inputs simultaneously as well as the prices of the inputs
What would be most beneficial to consider when management is developing the capital budget?
Profit center equipment requests
What is an example of a general control for a computerized system?
Restricting access to the computer center by use of biometric devices