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Svetllana [295]
3 years ago
10

Calculate the material and labor variances.

Business
1 answer:
Mnenie [13.5K]3 years ago
5 0

Answer:

Direct material Price variance = $207,000 Favorable

Direct material quantity variance = -$72,500 Unfavorable

Direct labor Rate variance = -$7,350 Unfavorable

Direct efficiency variance = $5,880 Favorable

Explanation:

The computation of material and labor variances is shown below:-

Direct material Price variance = (Standard rate - actual rate) × Actual quantity

= ($1.45 - $1.30) × 1,380,000

= $0.15 × 1,380,000

= $207,000 Favorable

Direct material quantity variance = (Standard quantity - actual quantity) × standard rate

= ((190,000 × 7) - 1,380,000) × $1.45

= (1,330,000 - 1,380,000) × $1.45

= -50,000 × $1.45

= -$72,500 Unfavorable

Direct labor Rate variance = (Standard rate - Actual rate) × Actual hour

= ($14.00 - $15.50) × 4,900

= -$1.5 × 4,900

= -$7,350 Unfavorable

Direct efficiency variance = (Standard hours - actual hours) × Standard rate

= ((190,000 × 0.028) - 4,900) × $14.00

= (5,320 - 4,900) × $14.00

= 420 × $14.00

= $5,880 Favorable

The favorable variance is the variance in which the standard is more than the actual one and the unfavorable variance is the variance in which the standard is less than the actual one

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Instructions are listed below

Explanation:

Giving the following information:

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3 years ago
Explain how the accounting for a fair value hedge differs for the hedged item and for the hedging item compared to the accountin
igomit [66]

A cash flow hedge is accounted for differently than a fair value hedge.

<h3>What is a Fair Value Hedge?</h3>

Fair price hedges may be used to mitigate the danger of modifications withinside the truthful marketplace price of liabilities, belongings, or different company commitments. Generally, truthful price hedges pass withinside the contrary route of the hedged object so they may be used to cancel out your losses. As a result, derivatives like alternatives and futures are fantastic examples of truthful price hedges.

<h3>What is a Cash Flow Hedge?</h3>

Cash go with the drift hedges can assist to mitigate the dangers which are related to surprising modifications in coins flows of belongings or liabilities, instead of the asset or legal responsibility itself. There are many various factors that could result in those kinds of modifications, inclusive of increases/decreases in forex rates, modifications in hobby rates, modifications in asset prices, and so on.

<h3>What’s the distinction among Cash Flow Hedge and Fair Value Hedge?</h3>

As you could see, the important thing distinction among a coins go with the drift hedge and a truthful price hedge is the hedged object. With a coins go with the drift hedge, you’re hedging the modifications in coins influx and outflow from belongings and liabilities, while truthful price hedges assist to mitigate your publicity to modifications withinside the price of belongings or liabilities. So, at the same time as truthful price hedges are first-rate acceptable to constant price items, the blessings of coins go with the drift hedges lead them to perfect for variable price items.

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2 years ago
Patrick is looking to open a checking account to use for groceries he should go to a
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Patrick goes to any U.S bank branch for opening a checking account for the use of groceries with some documents required for opening a checking account.

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A checking account makes it simple to access your money for daily transactions while also assisting in keeping your money safe. It's a flexible account that gives you the freedom to handle your daily spending, including bill payments, purchases, and paycheck management.

As a result, Patrick needs to visit any branch of a U.S. bank with some documentation, such as his Social Security number and a current, government-issued photo ID, such as a driver's license or passport, to open a checking account to pay for groceries or other personal expenses.

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3 0
2 years ago
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Answer: why did u delete my answer

Explanation:

4 0
3 years ago
A company issued 115 shares of $100 par value common stock for $12,500 cash. the total amount of paid-in capital is:
Olegator [25]

A company issued 115 shares of $100 par value

<span> Common stock value = $12,500 </span>

Total amount of paid-in capital = ?

Multiply the shares with amount par value =

Amount of shares = 115 x 100 = $11,500

Total amount of paid-in capital = common stock value - total amount of shares = $12,500 - $11,500

= $1000

So, total amount paid in capital is $1000.

5 0
3 years ago
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