The allocative function of price cannot operate unless there is:

1 answer:

7 0

The idea behind the allocative function of price is to distribute scarce goods to those consumers who value them most highly. 
Allocative function is the role that prices play in directing resources away from overcrowded markets and towards markets that are underserved . The allocative function of price cannot operate unless there is free entry and free exit.

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What characteristics would make an encryption absolutely unbreakable? what characteristics would make an encryption impractical

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Fletcher Company collected the following data regarding production of one of its products. Compute the total direct materials co

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Answer:

Option (B) $3,570 unfavorable

Explanation:

Data provided in the question:

Direct materials standard (6 lbs. @ $2/lb.) = $ 12 per finished unit

Actual direct materials used = 243,000 lbs.

Actual finished units produced = 40,000 units

Actual cost of direct materials used = $483,570

Now,

Total direct materials variance

= Budgeted cost of direct material - Actual cost of direct materials used

= ( 40,000 × $12 ) - $483,570

= $480,000- $483,570

= - $3,570

The negative value depicts Unfavorable

Hence,

Option (B) $3,570 unfavorable

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