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sladkih [1.3K]
4 years ago
6

A company developed the following per-unit standards for its product: 2 gallons of direct materials at $8 per gallon. Last month

, 3,000 gallons of direct materials were purchased for $22,800. The direct materials price variance for last month was Question 18 options: $22,800 favorable $600 favorable $1,200 favorable $1,200 unfavorable
Business
1 answer:
AVprozaik [17]4 years ago
3 0

Answer:

$1,200 favorable

Explanation:

Given,

Standard unit price for direct materials, SP = $8 per gallon

Actual direct materials price, AP = $22,800

Actual number of direct materials, AQ = 3,000 gallons

Actual unit price for direct materials = Actual direct materials price ÷ Actual number of direct materials

Actual unit price for direct materials = $22,800 ÷ 3,000 gallons

Actual unit price for direct materials = $7.6 per gallon

We know,

Direct Material Price Variance  = (SP − AP ) × AQ

Direct Material Price Variance  = $(8 - 7.6) × 3,000 gallons

Direct Material Price Variance  = $1,200 favorable

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irina [24]

Answer:

<em>Countries will completely specialize in the product in which they have a comparative advantage if free trade is allowed to occur. ( first choice)</em>

8 0
3 years ago
Regardless of quantity in long-run equilibrium, the industry price cannot exceed the?
Crank

An extremely large number of vendors, each of whom makes a comparable or same product, make up a competitive market. The total of all these unique outputs, which each provider produces as a small portion of the market as a whole, represents the production of that industry. This includes dry cleaners, corner stores, barbershops, and florists.

A market that has just one supplier is considered a monopolist at the other extreme. Examples include the fact that the National Hockey League is the only provider of top-notch professional hockey matches in North America, Hydro Quebec is the province of Quebec's sole electricity supplier, and Via Rail is the only provider of passenger rail services between Windsor, Ontario, and the city of Quebec.

Equilibrium: What Is It?

When market supply and demand are in balance, prices become steady. This is known as equilibrium. In general, a surplus of goods or services leads to lower prices, which increases demand, whereas a shortfall or under supply raises prices, which decreases demand.

To learn more about Equilibrium from the given link.

brainly.com/question/517289

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3 0
2 years ago
Assume the spot rate of the British pound is $1.73. The expected spot rate 1 year from now is assumed to be $1.66. What percenta
Alexandra [31]

Answer:

The correct answer is 4.05%.

Explanation:

According to the scenario, the given data are as follows:

Spot rate = $1.73

Expected spot rate after 1 year = $1.66

So, we can calculate the depreciation percentage by using the following formula:

Expected Depreciation = (Expected spot rate after 1 year - Spot rate) / Spot rate

So, by putting the value

= ($1.66 – $1.73) / $1.73

= - $0.07 / $1.73

= - 4.05%

Hence, the depreciation percentage is 4.05%.

8 0
3 years ago
Pina Corporation entered into an operating lease agreement to lease equipment from Badger, Inc. on January 1, 2017. The lease ca
posledela

Answer:

= $80,273

Explanation:

Value of the right of use asset = Value of lease liability - cash incentive received + costs incurred for lease

                  = $82,773 -$ 6,000 + $3,000 + $500

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3 years ago
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Anton [14]

Answer:

1. Measure of the percentage change in earnings before interest and tax or operating cash flow:

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2. P/E Ratio of 10 indicates that:

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Explanation:

Company B's degree of operating leverage is the financial measure that shows the degree of change of the operating income of the company in relation to a change in her sales revenue.  With this measure, investors and analysts of Company B are able to evaluate how sales impacts the company's operating income.  There are many ways to measure a company's degree of operating leverage.  One of the methods subtracts the variable costs of sales and divides that number by sales minus variable costs and fixed costs.

Company A's P/E ratio or price/earnings ratio is the measure of the relationship between the current market price and its earnings per share.  It is used to evaluate the value of the company's stock.  It points out whether the company's stock is undervalued, overvalued, or correctly valued.

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3 years ago
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