Account verification accounts $ 150,000 40,000 accounts Correspondence letters $ 50,000 4,000 letters Total costs $ 880,000 How much of account verification costs will be assigned to Department A ? Question 3 . Question : ( TCO 2 ) Budgeting provides all of the following EXCEPT Question 4 . Question : ( TCO 2 ) White planned to use $ 82 of material per unit but actually used $ 80 of material per unit , and planned to make 1,200 units but actually made 1,000 units . The sales-volume variance is Question 5 . Question : ( TCO 3 ) Which cost estimation method analyzes accounts in the subsidiary ledger as variable , fixed , or mixed using qualitative methods ? Question 6 . Question : ( TCO 4 ) In evaluating different alternatives , it is useful to concentrate on Question 7 . Question : ( TCO 5 ) Which of the following is a relevant cost to be included in a make-or-buy decision ? Question 8 . Question : ( TCO 5 ) Konrade ' s Engine Company manufactures part TE456 used in several of its engine models . Monthly production costs for 1,000 units are as follows : Direct materials $ 40,000 Direct labor 10,000 Variable overhead costs 30,000 Fixed overhead costs 20,000 Total costs $ 100,000 It is estimated that 10 % of the fixed overhead costs assigned to TE456 will no longer be incurred if the company purchases TE456 from the outside supplier . Konrade ' s Engine Company has the option of purchasing the part from an outside supplier at $ 85 per unit . If Konrade ' s Engine Company accepts the offer from the outside supplier , the monthly avoidable costs ( costs that will no longer be incurred ) total Question 9 . Question : ( TCO 3 ) The cost function y = 100 + 10X Question 10 . Question : ( TCO 4 ) Opportunity costs Question 1 . Question : ( TCO 1 ) For each of the following activities , identify an appropriate activity-cost driver .