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3 years ago

Which one of the following describes the total overhead variance?

Business

1 answer:

salantis [7]3 years ago

4 0

Answer:

B. The difference between what was actually incurred and overhead applied.

Explanation:

This could be simply as the difference of what was actually incurred and overhead that was been applied or it could be the difference between the amount that would be absorbed into the cost/unit of the actual units of a certain commodity been produced, and the actual cost of the fixed overheads.

This could be seen in a certain number of labor hours taken to manufacture a an amount of product, as it may differ significantly from the standard or budgeted number of hours of the work been done.

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Turrubiates Corporation makes a product that uses a material with the following standards: Standard quantity 7.6 liters per unit

frosja888 [35]

Answer:

Direct material quantity variance= $1,260 unfavorable

Explanation:

Giving the following information:

Standard quantity of 7.6 liters per unit

Standard price $ 2.10 per liter

The company budgeted for production of 3,400 units.

The actual production was 3,500 units.

The company used 27,200 liters of direct material to produce this output.

To calculate the direct material quantity variance, we need to use the following formula:

Direct material quantity variance= (standard quantity - actual quantity)*standard price

Standard quantity= 3,500 units* 7.6= 26,600

Direct material quantity variance= (26,600 - 27,200)*2.1= $1,260 unfavorable

<u>It is unfavorable because the company used more material than estimated to produce 3,500 units.</u>

6 0

3 years ago

Production and sales estimates for march for the robin co. are as follows: estimated inventory (units), march 1 18,000 desired i

zmey [24]

The correct answer is a

3 0

3 years ago

Read 2 more answers

As his company globalizes its business, Jordan faces cultural challenges related to differing ethical standards. To make ethical

tatyana61 [14]

Answer:

embrace transparency and conduct all negotiations as openly as possible.

Explanation:

Jordan's company is expanding to become a global company, so he needs to consider different cultures and government regulations.

To succeed he will need to be open about processes in the organisation as there will be different interpretations from different culture types when communication is not clear.

Also he needs to be transparent to build trust in his globally distributed team.

5 0

3 years ago

On January 1, 2020, NoDice Corporation issues $540,000, 5-year, 12% bonds for $529,000. Interest is paid semiannually on January

Svet_ta [14]

Answer:

Dr Interest expense $33,500

Cr Discount on bonds payable $1,100

Cr Cash $32,400

Explanation:

Discount on bonds payable=$540,000-$529,000=$11,000

Amortization of discount=discount on bonds issue/period of the bond

period to maturity of the bond is 5 years *2 =10 since the bond pays interest semi-annually

Amortization =$11,000/10=$1,100

Semi-annual interest=$540,000*12%/2=$32,400

the bond semi-annual interest expense=discount amortization+interest payment

the bond semi-annual interest expense=$32,400+$1,100=$33,500

5 0

3 years ago

A portfolio consists of $13,400 in Stock M and $18,900 invested in Stock N. The expected return on these stocks is 8.50 percent

Aneli [31]

Answer:

The expected return on the portfolio is:

10.31% ($3,331.40)

Explanation:

a) Data and Calculations:

Portfolio investments: Expected Returns % Expected Returns $

Stock M = $13,400 8.50% $1,139

Stock N = $18,900 11.60% $2,192.40

Total $32,300 10.31% $3,331.40

Total expected returns in percentage is Expected Returns $/Total Investments * 100

= $3,331.40/$32,300 * 100

= 10.31%

b) The expected returns on the portfolio is derived by calculating the expected returns for each investment and summing up. Then dividing the expected portfolio returns by the portfolio investment. This yields 10.31% percentage value.

3 0

3 years ago