Answer:
Debit Credit
Work in process inventory $15,000
Manufacturing overhead clearing account $15,000
Explanation:
First determine the amount of applied overhead which can be calculated as follows
Applied overhead=Rate per machine hour*number of hours
Applied overhead=$5*3,000=$15,000
The journal entry for the applied overhead shall be made as follow
Debit Credit
Work in process inventory $15,000
Manufacturing overheads clearing account $15,000
- The expected return = = 12.84 %.
-
The standard deviation = 22.8 %.
<u>Explanation</u>:
On the client's portfolio (total investment = 120 K + 80 K = 200 K,
= (12.4 %risk premium + 5.4 %risk free return) 
(120 K / 200 K) + 5.4 % (80 K / 200 K)
= 17.8 % 0.6 + 5.4 % 0.4
= 12.84 %.
-
The standard deviation would be = 38 % 0.6 + 0% 0.4
= 22.8 %.
Answer/Explanation:
Am economy encompasses all activities that relates to the allocation of scarce resources for optimal production, processing, and distribution and trade of goods and services for the benefits and consumption of the populace dwelling in a geographical area. It entails all inter-related activities that pertains to the efficient use of scarce resources to ensure human needs are met for their survival.
Answer: D) Favorable Unfavorable
Explanation:
To begin, it is worthy of note that in Variance, if something is said to be Favourable, it means a negative Variance because less resources than planned were spent. When it is Unfavourable, it means a positive balance variance.
Now, The formula for Labour Rate Variance is as follows,
LABOUR RATE VARIANCE=(ACTUAL RATE-STANDARD RATE)*ACTUAL HOURS WORKED
Seeing as the old workers were being paid $18, and the new office ones were paid $10, we can see that to be the actual rate was less than the standard rate. This would mean that there was a FAVOURABLE balance.
Labour Efficiency is calculated in a similar way,
LABOUR EFFICIENCY VARIANCE=(ACTUAL HOURS WORKED-STANDARD HOURS)*STANDARD RATE.
Now, these are Office workers not assemblyline workers. They do not have the experience to work in such a way that they produce as fast or as efficiently as their striking Assemblyline colleagues.
This would then mean that their actual hours will be MORE than the standard rate which can only lead to an UNFAVOURABLE BALANCE.
