Options:
A. Judy's producer surplus is $270,000
B. Judy's producer surplus is $5000
C. Gary's Consumer surplus is $5000
D. Judy's consumer surplus is $30000.
Answer:
B. Judy's producer surplus is $5000
D. Judy's consumer surplus is $30000.
Explanation: Surplus is a term used to describe the amount spent in excess of the Actual worth of a given asset or a material, the asset or material can either for business, convenience or for leisure.
Producer surplus is the amount which a producer expected to be paid for the supply or production of a particular product and the amount received after supply.
JUDY'S PRODUCER SURPLUS= ACTUAL AMOUNT IT WAS SOLD-THE AMOUNT THE PRODUCER IS WILLING TO SELL
=$90,000-$85,000
=$5,000.
Consumer surplus is the difference between the amount a Consumer is willing to pay for a good or service and the actual amount paid.
CONSUMER SURPLUS= THE AMOUNT THE CONSUMER IS WILLING TO PAY- THE AMOUNT THE CONSUMER PAID
$150,000-$120,000
=$30,000.
Answer:
Manufacturing overhead rate variance= $5,404 favorable
Explanation:
Giving the following information:
Variable manufacturing overhead 0.5 hours $4.00 per hour
During March, 2,800 direct labor-hours were worked.
Variable manufacturing overhead costs during March totaled $5,800.
To calculate the variable overhead rate variance, we need to use the following formula:
Manufacturing overhead rate variance= (standard rate - actual rate)* actual quantity
Actual rate= 5,800/2,800= $2.07
Manufacturing overhead rate variance= (4 - 2.07)*2,800
Manufacturing overhead rate variance= $5,404 favorable
Answer:
The first option is correct
Explanation:
So as to have a justifiable reason to issue a management report on internal control, based on Section 404(a) from the Sarbanes-Oxley Act of 2002, the following responsibilities are required from the Management:
• Create and maintain adequate internal control over financial reporting for the company
• Provide criteria for evaluators to assess the effectiveness of the company’s internal control over financial reporting
• Assess the effectiveness of the company’s internal control over financial reporting based on management’s evaluation of it, at year-end (i.e., a point-in-time assessment), including disclosure of any material weakness in the company’s internal control over financial reporting identified by management.
Therefore, to have a justifiable reason to issue a management report on internal control under Section 404(a) of the Sarbanes-Oxley Act of 2002, management must do everything, except "Establishing a system of internal controls containing no material weakness" as this was not stated under Section 404(a) of the Sarbanes-Oxley Act of 2002.
Hence first option is correct.
Answer:
Sliding
Explanation:
Sliding is a term connected with a Sliding Scale which is a process of adjusting the amount that you pay according to different conditions. That's exactly what Sari is doing.
