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Posted: March 17th, 2023
Acc 281 week 5 pre-assessment – a graded – best tutorial – all
Question 1. What best describes the purpose of a budget?
- Budgets are “cost reduction” tools (No. Budgets are “plans of action” tools)
- Budgets are “plans of action” tools (Yes. Budgets are “plans of action” tools)
- Budgets are “cost control” tools (No. Budgets are “plans of action” tools)
- Budgets are none of the above (No. Budgets are “plans of action” tools)
Question 2. Which of the following are common causes for labor efficiency variances? Check all that apply:
- Use of lower-skilled or higher-skilled workers. (Yes. Common causes for labor efficiency variances include use of lower-skilled or higher-skilled workers; effects of the learning curve; lower-quality or higher-quality materials; changes in methods or scheduling; and installation of new equipment.)
- Effects of the learning curve. (Yes. Common causes for labor efficiency variances include use of lower-skilled or higher-skilled workers; effects of the learning curve; lower-quality or higher-quality materials; changes in methods or scheduling; and installation of new equipment.)
- Sufficient training, correct instructions, or worker satisfaction. (No. Common causes for labor efficiency variances include use of lower-skilled or higher-skilled workers; effects of the learning curve; lower-quality or higher-quality materials; changes in methods or scheduling; and installation of new equipment.)
- Lower-quality or higher-quality materials. (Yes. Common causes for labor efficiency variances include use of lower-skilled or higher-skilled workers; effects of the learning curve; lower-quality or higher-quality materials; changes in methods or scheduling; and installation of new equipment.)
- Changes in methods or scheduling. (Yes. Common causes for labor efficiency variances include use of lower-skilled or higher-skilled workers; effects of the learning curve; lower-quality or higher-quality materials; changes in methods or scheduling; and installation of new equipment.)
- Installation of new equipment. (Yes. Common causes for labor efficiency variances include use of lower-skilled or higher-skilled workers; effects of the learning curve; lower-quality or higher-quality materials; changes in methods or scheduling; and installation of new equipment.)
- Well maintained equipment or machine malfunction. (No. Common causes for labor efficiency variances include use of lower-skilled or higher-skilled workers; effects of the learning curve; lower-quality or higher-quality materials; changes in methods or scheduling; and installation of new equipment..)
Question 3. What is the advantage of the accounting rate of return method?
- It is easily applied because it uses readily available financial accounting data. (Yes. It is easily applied because it uses readily available financial accounting data.)
- It ignores the time value of money (No. It is easily applied because it uses readily available financial accounting data.)
- It generally assumes smooth cash flows over the project’s life regardless of the actual cash-flow pattern. (No. It is easily applied because it uses readily available financial accounting data.)
- It includes depreciation expense and other accounting accruals in the calculation of project income, losing the purity of cash-flow data.(No. It is easily applied because it uses readily available financial accounting data.)
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