This is referred to as dual enrollment.
Answer:
$17,000 favourable
Explanation:
Price variance is the difference between the actual cost incurred to purchase the material and the actual quantity cost on a standard or budgeted rate of the material.As per given data
Actual Quantity = 34,000 gallon
Actual Price = $5.60
Standard cost = $6.1
Total Actual cost = 34,000 x $5.60 = $190,400
Standard cost of Actual purchase = $6.1 x 34,000 = $207,400
Direct-material price variance = Cost at standard rate - Actual Cost = $207,400 - $190,400 = $17,000
The variance is favorable as Oiner Corporation incurred less cost on a quantity purchase than the standard cost of the same quantity.
Answer:
The security is worth $30,570.77.-
Explanation:
Giving the following information:
Annual payment (3 to 9)= $7,000
Interest rate= 5.1%
<u>First, we need to determine the value of the security 3 years from now:</u>
FV= {A*[(1+i)^n-1]}/i
A= annual payment
FV= {7,000*[(1.051^6) - 1]} / 0.051
FV= $47,833.35
PV= FV/(1+i)^n
PV= 47,833.35 / 1.051^6
PV= $35,490.70
The value of the security in 3 years is $35,490.70.
<u>Now, the present value:</u>
PV= 35,490.70 / 1.051^3
PV= $30,570.77
The security is worth $30,570.77.-
