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Nuetrik [128]
3 years ago
11

Which type of variance causes operating income to be lower than the budgeted operating​ income?

Business
1 answer:
gladu [14]3 years ago
5 0

Answer:

Favorable Variance

Explanation:

Any difference between predicted costs and actual costs is refereed to as variance. Favorable variance means the difference was in the company's favor because they predicted one level of income but actually made a higher income than expected.

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If the market index subsequently rises by 8% and Ford’s stock price rises by 7%, what is the abnormal change in Ford’s stock pri
Margarita [4]

Answer:

-1.9%.

Explanation:

The computation of the abnormal change in the stock price of ford should be given below:

Given that

The return on the market is 8%.

So, the forecast monthly return for Ford is

= 0.10% + (1.1 × 8%)

= 8.9%.

And, the Ford’s actual return was 7%,

So,

the abnormal return be

= 7% - 8.9%

= -1.9%.

3 0
3 years ago
When inventory declines in value below original (historical) cost, and this decline is considered other than temporary, what is
quester [9]

Answer:

Explanation:

The applicable accounting standard IAS 2 (Inventory) requires that inventory be carried at the lower of cost or net realizable value.

Initial recognition of inventory is at cost. In other words, where the cost is lower than the net realizable value, inventory is written down to the net realizable value.

As such, when inventory declines in value below original (historical) cost, and this decline is considered other than temporary, the maximum amount that the inventory can be valued at is the net realizable value.

The right option is b. Net realizable value

5 0
4 years ago
Product line extensions are current products that have been modified. (points : 1) true false
MariettaO [177]
Hello there. ;D

<span>Product line extensions are current products that have been modified.

Answer:True</span>
5 0
4 years ago
Garza Corporation has two production departments, Casting and Customizing. The company uses a job-order costing system and compu
Misha Larkins [42]

Answer:

d. $73,500

Explanation:

The computation of the estimated total manufacturing overhead for the customizing department is shown below:

= Total fixed manufacturing overhead cost + Variable manufacturing overhead cost

where,

the variable manufacturing overhead cost = Customized Direct labor-hours × Variable manufacturing overhead per direct labor-hour

= 7,000 units × $5

= $35,000

And, the Total fixed manufacturing overhead cost is $38,500

Now put these values to the above formula

So, the answer would be equal to

= $38,500 + ($7,000 hours × $5 per hour)

= $38,500 + $35,000

= $73,500

5 0
4 years ago
Which types of computers have all of the hardware integrated with the monitor?
oksano4ka [1.4K]
All-in-one computers are <span>types of computers have all of the hardware integrated with the monitor.

All-one-computer was first designed in 1998 by </span><span>Apple iMac. In this computer, all system components and hardware are just integrated into one unit.</span>
3 0
3 years ago
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