Answer:
Allocated overhead= $43,180
Explanation:
Giving the following information:
Cost of direct materials used $42,600
Cost of goods manufactured $124,200
Cost of direct labor ($30 per hour)= $76,200
Manufacturing overhead cost is allocated at the rate of $17 per direct labor hour.
Allocated overhead= predetermined overhead rate* actual allocation base
Allocated overhead= 17* (76200/30)= $43,180
Answer:
10.03%
Explanation:
Using the dividend discount formula, find the cost of equity; r

whereby,
D1 = Next year's dividend = 5.29
P0 = Current price of the stock = 79.83
g = growth rate of dividends = 3.40% or 0.034 as a decimal
Next, plug in the numbers to the formula above;

As a percentage, r = 10.03%
Therefore, the company's cost of equity is 10.03%
The standard deviation should decrease because there is now a lower probability of the more extreme outcomes. The expected rate of return on the auto stock is now
<h3>How is the variance calculated?</h3>
[0.3 × (–8%)] + [.4 × 5%] + [.3 × 18\%] = 5%[.3×(–8%)]+[.4×5%]+[.3×18%] = 5%
The variance is
[.3× (–8 – 5
] + [.4× (5 – 5
] + [.3×(18 – 5
] = 101.4
The standard deviation is √101.4 = 10.07 percent, which is lower than the value assuming equal probabilities of each scenario.
To learn more about variance, refer
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