Answer:
1. $3.20 x 2.20 = $7.04
2. It will be favorable.
3. It will be unfavorable.
4. Direct material price variance = $22
Direct material quantity variance = 0.48
Explanation:
1. Standard direct cost per unit=cost of direct materials price x direct material standard quantity per unit.
2. It will be favorable because they expected or had budgeted to pay $3.60 per foot for the material but the actual cost became $3.20. So they pay $0.40 less than they had expected to pay.
3. It will be unfavorable because they had planed or budgeted for each unit to use 2.05 feet of leather but they ended up needing 2.20 feet of leather per collar so that means they under budgeted by 0.15 feet.
4. Direct material price variance =( $3.60 x 55) less ($3.20x55)=$22
The total amount that was budgeted or expected to be paid is subtracted from the total actual price that was paid.
Direct material quantity variance = (2.05x$3.20) less (2.20x$3.20)= -0.48
The total direct material quantity that is used is subtracted from the quantity that was expected to be used.
Answer:
$4,050
Explanation:
Grey has $4,500 for shopping.
She spent 90% while on shopping.
The amount spent = 90/100 x $4500
=0.9 x $4,500
=$4,050
Answer:
d. Milestones are developed during risk planning.
Explanation:
A milestone is a typical measuring point used when establishing cost control. Which of the following does NOT accurately describes the use of cost control milestones?Select one:a. Project managers and sponsors often decide the number of milestones jointly.b. Milestones are often identified in the project charter.c. Project managers can use their cash flow projections to determine the funding needed to reach each milestone.d. Milestones are developed during risk planning.
<u>ANSWER</u>
It is not correct that milestones are developed during risk planning but rather they are developed during Project budgeting where the deliverables are identified in terms of the cost to achieve them. Truly as stated in the scenario's options, Project managers can use their cash flow projections to determine the funding needed to reach each milestone. It is in the project planning phase that these milestones are established by Project managers and sponsors jointly.
Answer: C. interest expense will not be a constant dollar amount over the life of the bond.
Explanation:
When a bond is sold at a discount, the discount will have to be amortized over the life of the bond to ensure that it reaches par at maturity.
As a result, the interest expense will be based on a larger figure every year which would mean that it would have to be larger each time. t will therefore not be a constant dollar amount over the life of the bond.
<span>materials cost behavior units per case cos.</span>
