Answer:
the actual total direct labor cost for the current period is $425,285
Explanation:
<u>Reconciling Standard Cost to Actual Cost</u>
Standard Cost $419,000
<em>Add</em> Unfavorable direct labor rate variance $10,475
<em>Less</em> Favorable direct labor efficiency variance ($4,190)
Actual Cost $425,285
The economics concepts of income effect and substitution effect express changes in the market and how these changes impact consumption patterns for consumer goods and services. The income effect expresses the impact of increased purchasing power on consumption, while the substitution effect describes how consumption is impacted by changing relative prices. Different goods and services experience these changes in different ways. Some products, called inferior goods, generally decrease in consumption whenever incomes increase. Consumer spending and consumption of normal goods typically increases with higher purchasing power, in contrast with inferior goods.
Read more: What's the difference between the income effect and the substitution effect? | Investopedia http://www.investopedia.com/ask/answers/041415/whats-difference-between-income-effect-and-substitution-effect.asp#ixzz4wcsy3IOK
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Answer: Transaction exposure
Explanation:
Transaction exposure, is a form of foreign exchange risk that is faced by the organizations that take part in international trade. It occurs when the fluctuation in exchange rate change a contracts value before it is settled.
It is concerned with the effect of exchange rate changes on individual transactions, most of which are short-term affairs that will be executed within a few weeks or months.
Answer:
- Single asset = Coefficient of Variation
- Portfolio = Beta
Explanation:
When dealing with standalone risk, coefficient of variation is best because it shows the amount by which the asset's returns might deviate from the average returns of the market.
As for portfolio assets that are well diversified, the best measure would be beta because diversified portfolios deal with systematic risk and beta shows the movement of the portfolio in relation to the market and so will show that systematic risk.
Answer: Compliance review
Explanation: A compliance review can be defined as an audit done with the objective to assess whether the company is following the regulatory guidelines. In such a review the auditor tries to determine if the items that being examined complies with the set standards.
In the given case, Drew is writing the report to spread the information that they are following all the guidelines related to safety and quality.
Thus, from the above we can conclude that the correct option is C.
