Based on the information given the variance is $500 favorable.
<h3>
Variance</h3>
Using this formula
Variance=Fixed Direct labor cost-Actual direct labor cost
Where:
Fixed Direct labor cost=$27,500
Actual direct labor cost=$27,000
Let plug in the formula
Variance=$27,500-$27,000
Variance=$500 favorable
Inconclusion the variance is $500 favorable.
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<span>Which financing is also known as “risk capital”? Mezzanine loans/financing. These are given out by financial institutions and are considered to be true risk capital because they rely on long term cash flows. Risk capital is also known as venture </span>capital. There is a large amount of risk when a new business starts or is expanding. Companies will use mezzanine loans/financing to finance these projects.
The emergence of ride sharing apps like Lyft and Uber have created gains from trade by introducing new sellers into the market for taxi services and decreasing the price of rides.
Gains from trade can be described as the increase in consumer surplus and producer surplus as a result of lower tariffs when consumers and producers are allowed to trade with less restrictions. Gains from trade occurs as a result of lower trade prices.
Ride sharing apps are apps that allow people to order for rides from their phones using an app. Examples are uber and lyft.
Ride sharing apps has increased the amount of ride options available to users. This has lead to lower prices as ride sharing apps have lowered prices to attract customers.
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Based on business activities, the factor that should be considered when deciding which ART to launch first is "<u>Organizational change impact</u>."
<h3>Organizational change impact</h3>
The Organizational change impact is a change impact from the firm's business activities. These impacts could be any competitive advantage, business opportunities, working conditions, etc.
Therefore, to determine which ART to launch first, firms should consider the Organizational change impact to set the tone for further ART launch.
Hence, in this case, it is concluded that the correct answer is "<u>Organizational change impact."</u>
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Answer:
10.5%
Explanation:
Holmes company currently have an outstanding bond of 9% coupon
They also have a 14% yield to maturity
= 14/100
= 0.14
The marginal tax rate is 25%
= 25/100
= 0.25
The after-tax cost of debt can be calculated as follows
After tax-cost of debt= Yield to maturity × (1-tax rate)
= 0.14× (1-0.25)
= 0.14×0.75
= 0.105×100
= 10.5%
Hence the after-tax cost of debt for Holmes company is 10.5%