Answer:
Purchase Price Variance (PPV)
Explanation:
Answer:
Vehicle salesperson.
Explanation:
A sales commission is a percentage or a ration that a salesperson earns for each sale closed. In practice, sales commissions are used by many businesses as incentives to increase sales volumes. A salary plus commission mode of compensation means that the worker will have a fixed and regular salary, and extra pay for meeting set targets.
The vehicle salesperson will be most suited to earn the salary plus commission. This type of compensation will encourage the salesperson to explore more markets to increase sales figures. Sales performance influence profitability. The higher the sales, the better for the company.
Answer:
Overhead application rate
= <u>Budgeted overhead</u>
Budgeted machine hours
= <u>$900,000</u>
30,000 hours
= $30 per machine hour
Overhead cost assigned to the product
= Overhead application rate x Actual machine hours
= $30 x 12,000 hours
= $360,000
Explanation:
In this case, there is need to determine the overhead application rate, which is the ratio of budgeted overhead to budgeted machine hours.
Then, we will obtain the overhead cost assigned to the product by multiplying the overhead application rate by actual machine hours.
Answer:
$231,140
Explanation:
The computation of the amount reported in the cost of goods sold is shown below:
= Number of pool cues sold × total manufacturing cost per pool cue
where,
Number of pool cues sold would be 26,000 pool cues
And, the total manufacturing cost per pool cue would be
= Direct Materials per cue + Direct manufacturing Labor per cue + Manufacturing Overhead per cue
= $2 + $6 + $0.89
= $8.89
Now put these values to the above formula
So, the value would be equal to
= 26,000 cues × 8.89
= $231,140
Answer:
d
Explanation:
A change in price leads to two effects :
- The income effect
- The substitution effect
The income effect is the change in quantity demanded as a result of a change in real income which affects the consumes purchasing power.
A car constitutes a very large part of a consumers expenditure due to its cost. Thus, the income effect for a car would be the largest
The substitution effect is the change in demand as a result of change in the price of the good compared to the price of another substitute good.
