Answer:
Direct material quantity variance= $41,440 unfavorable
Explanation:
Giving the following information:
Standard quantity per unit= 12,000/14,000= 0.86 pounds per unit
Standard cost of $14 per pound.
Used 15,000 pounds of direct material with a cost of $30 per pound to produce 14,000 units of finished product.
To calculate the direct material quantity variance, we need to use the following formula:
Direct material quantity variance= (standard quantity - actual quantity)*standard price
Direct material quantity variance= (0.86*14,000 - 15,000)*14
Direct material quantity variance= $41,440 unfavorable
Answer:
C) the loss of profit from the delayed opening.
Explanation:
As for the information given, Tile & Grout did not perform as they promised.
Since, there is a contract which demands for proper service, and in that contract there is assurance from T&G also to perform well, poor performance will lead to violation of contract.
As there is poor performance it will lead to loss in revenue, of Water World.
Accordingly, water world can demand and has the right to collect, the loss of profit which occurred due to T&G's performance.
Answer:
Buy the stock because it is underpriced and investor will make money in the near future.
Explanation:
Required rate of return is defined as the estimated return am investor wants to gain for taking on a certain amount of risk when investing in securities.
The higher the risk the higher the required rate of return.
If the expected rate of return exceeds the required rate of return then the investor will consider the share underpriced and experiencing supernormal growth.
For example if a stock has required rate of return as 10% and expected rate of return as 15%, it means that the stock will perform above its peer stock in the market and the price will rise in the future.
Answer:
The weighted average number of shares used to compute earnings per share for 2018 is 160,000
Explanation:
At the beginning of the year Vent would have had 180,000 shares less the two new 15,000 shares newly issued(180,000-15,000-15000)=150,000
Outstanding common stock at beginning of the year 150,000*12/12=150,000
Shares issued on July 1 15,000*6/12 =7500
Shares issued on November 1 15,000*2/12 =2,500
Weighted average number of shares 160,000
The number with which to compute earnings per share is 160,000 shares as shown above.