Answer: a) Fuel Connector's place of business.
Explanation:
Since Go-Flo is expected to pick up the goods from Fuel Connector Products, Inc., therefore, Go-Flo should pick up the the hose couplings and fittings from Fuel Connector's office. Also, since the contract does not specify a place so its only logical that Go-Flo would have to go to Fuel Connector's place of business.
Answer:
Explanation:
1. Mineral mine - $9.3 million
Development costs - $2500 000
1/[(1+0.07)^4]=0.76290
Restoration costs = $472995 = [(530k * 0.4)+(630k * 0.3)+($730k * 0.3)] *0.76290
Cost of mine= $9.3 million+$2500 000+$472995 = $12272995
2. Depletion:
($12272995/730000tons)*113000tons=$1899792
Depreciation of machinery=($143400-$12000)/730000 * 113000tons = $20340
Depreciation of structures=($36500/730000tons)*113000tons=$5650
3. Accrecion expense recognized:
$472995*0.07*8/12=$22073
Answer:
Both A and B are correct.
Explanation:
Variance analysis help the business to identify the deviation from their budgeted expenditures. The budget cost or volume is analyzed against the actual expenditure or production volume. Variance can be favorable or unfavorable. An unfavorable material price variance will increase the cost of finished goods.
