Answer:
Direct labor time (efficiency) variance= $6,270 favorable
Explanation:
Giving the following information:
Standard= Direct labor 0.4 hours $ 11.00 per hour
Actual output 2,600 units
Actual direct labor-hours 470 hours
To calculate the direct labor efficiency variance, we need to use the following formula:
Direct labor time (efficiency) variance= (Standard Quantity - Actual Quantity)*standard rate
Standard quantity= 0.4*2,600= 1,040
Direct labor time (efficiency) variance= (1,040 - 470)*11
Direct labor time (efficiency) variance= $6,270 favorable
Answer:
See below
Explanation:
It is to be noted that under IFR, inventories are carried at a lower of cost or net realizable value, which is $550,000 in this scenario.
Also, under the United states GAAP, inventories are carried at a lower of cost or market . Here, the replacement cost of $525,000 would be used because it is below NRV and its equal to the difference between NRV and normal profit margin.
Answer:
D. have separate cost allocation rates for each activity identified by the company CORRECT
There will be activity cost pool which, will be distribute among the product using different cost driver like machien hours, direct labor hours or other.
Explanation:
A. have the same cost allocation system as plantwide and departmental cost allocation systems
NO If it was, then it would not have a different name
B. have no cost allocation rates for each activity identified by the company
If we don't have rates to distrubte cost then, the allocation will be arbitrary
C. have combined cost allocation rates for each activity identified by the company
each should have different base cost driver if not, then they aren't different and should be combined.
Making decisions are always an important part. But failure in making decision may cause something unexpected. in most of the time a right decision at right time helps a lot... so for making a good decision one should follow some steps- like what are the good aspect if someone take this decision and what are the negative impact of this decision and if the probability of positiveness is more... than one should take that decision.. and if someone have confusion between what to do? and have to decide which decision to take among many ideas in mind one should do the same steps but this time he/she should write them in a page for each decision a single page and than take the one which is prominent..
