Answer:
The actual labor rate per hour is $12
Explanation:
First and foremost, we need to understand that a direct labor spending variance of $990(unfavorable) means that the firm spent an additional $990 compared to what was expected.
Also, the spending variance is computed as the actual labor rate minus the standard labor rate multiplied by the actual labor hours worked
spending variance=(actual labor rate-standard labor rate)*actual labor hours
spending variance=$990
actual labor rate=unknown=(assume it is X)
standard labor rate=$11
actual labor hours worked=990
$990=(X-$11)*990
$990/990=X-$11
$1=X-$11
X=$1+$11
X=actual labor rate=$12
<span>b. companies always carefully test any claims that they make about a product </span>
Answer:
0.33
0.5
Ted
Explanation:
Ted's opportunity cost = 20 / 60 = 0.33
Tom's opportunity cost = 15 / 30 = 0.5
A person has comparative advantage in an activity if he carries out the activity at a lower opportunity cost when compared with other people.
Thus, ted has an opportunity cost in washing cars.
I hope my answer helps you
Answer:
a.They must be an integral part of the finished product and be a significant portion of the total product cost
Explanation:
The direct material is the material cost which is directly related to the process of the product at the time of manufacturing the product
It can be an integral part of the finished goods as finished goods are come from direct materials and the work in process cycles.
Moreover, it also included in the total product cost along with the direct labor cost and the manufacturing overhead cost
