Michael is maximizing utility by consuming three colas at $3 a piece and four hot dogs. The last cola gave him 300 units of util
1 answer:
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Answer:
Total Material Variance = $1,636 Favorable
Material Price Variance = $2,920 Unfavorable
Material Quantity Variance = $4,556 Favorable
Explanation:
Total Material Variance = Standard Cost - Actual Cost
Standard Cost = Standard units Standard Price
Standard Units = 10,300 2.9 = 29,870 units
Standard cost = 29,870 $6.8 = $203,116
Actual Cost = 29,200 $6.90 = $201,480
Total Material Variance = $203,116 - $201,480 = $1,636 Favorable
Material Price Variance = (Standard Rate - Actual Rate) Actual Units
= ($6.8 - $6.9) 29,200 = - $2,920 Unfavorable
Material Quantity Variance = ( Standard Units - Actual Units) Standard Price
= (29,870 - 29,200) $6.8
= $4,556 Favorable
Final Answer
Total Material Variance = $1,636 Favorable
Material Price Variance = $2,920 Unfavorable
Material Quantity Variance = $4,556 Favorable
Answer:
$1,172.97
Explanation:
We use the Present value formula i.e to be shown in the attached spreadsheet. Kindly find it below:
Given that,
Assuming figure Future value = $1,000
Rate of interest = 1.9% + 0.85% = 2.75%
NPER = 5 years
PMT = $1,000 × 6.5% = $65
The formula is shown below:
= -PV(Rate;NPER;PMT;FV;type)
So, after solving this, the price of the bond is $1,172.97
