The correct answer is $737 premium per year.
The steps to solving this problem is to first determine the amount of homeowner’s insurance that you need. It is specified that they are looking for a policy that is equal to 80% of the home’s replacement value. The value of the home is $312,500, so 80% of that is $250,000 (312,500 x .8).
Next, locate the row for $250,000 and then locate the Brick/Masonry section, which is the first one. Under that heading you will see the breakdown of different classes. The first column is for fire protection classes 1-6, which includes 4. So, your answer is in the first cell to the right of $250,000.
Answer: $800 less than standard for the achieved level of activity
Explanation:
A flexible budget variance refers to the difference that occurs between the results that are gotten by a flexible budget model and the actual results gotten.
Since the flexible-budget variance is $800 favorable for unit-related costs, this indicates that costs were $800 less than standard for the achieved level of activity.
Therefore, the correct option is D.
Answer:
$17,000 favourable
Explanation:
Price variance is the difference between the actual cost incurred to purchase the material and the actual quantity cost on a standard or budgeted rate of the material.As per given data
Actual Quantity = 34,000 gallon
Actual Price = $5.60
Standard cost = $6.1
Total Actual cost = 34,000 x $5.60 = $190,400
Standard cost of Actual purchase = $6.1 x 34,000 = $207,400
Direct-material price variance = Cost at standard rate - Actual Cost = $207,400 - $190,400 = $17,000
The variance is favorable as Oiner Corporation incurred less cost on a quantity purchase than the standard cost of the same quantity.
