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stira [4]
3 years ago
8

StuckinMyHouse book company is a boutique shop that produces a small selection of adult coloring books. The first quarter 2020 M

aster Budget was based on selling 1,200 units, with a direct labor cost of $3,600. The company experienced an unexpected surge in purchases, actually selling 2,300 coloring books. It spent $6,640 on direct labor. The one employee earned $10 per hour, as expected.
How much is the rate variance (aka efficiency variance) for direct labor?
Business
1 answer:
suter [353]3 years ago
6 0

Answer:

<em>Labour rate variance  =    $260 favourable</em>

Explanation:

<em>The rate variance would be the difference between the standard labour cost of the 2,300 units sold and the actual labour cost</em>

Standard labour cost  (3600/1200× 2300)<em>      6,900</em>

<em>Actual labour cost                                             </em><u><em>6, 640</em></u>

<em>labour rate variance                                     </em><u><em>   $260</em></u><em> favourable</em>

The variance is favourable because the StuckinMyHouse book company saved $260 as a result of of his actual cost been less than the expected cost.

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Your company's health insurance plan costs $585 per employee per month. There are 64 employees. Another health insurance company
Novay_Z [31]

Answer:

$44, 928

Explanation:

There are 64 employees in the company.

each employee costs $585 per month.

The total cost for all 64 employees per month will be

=64 x $585

=$37,440

The annual expenditure of employees insurance

= Monthly costs  x 12

=$37,440 x 12

=$449,280

A 10 percent savings will be

=10/100 x $449,280

=$44, 928

5 0
3 years ago
What are the benefits and risks of changing the packaging of the tic tac product? profile the tic tac consumer. if ferrero were
zheka24 [161]

A potential risk is confusing the customers - customers have brand loyalty and recognition based off of the look and familiarity of packaging. They might always reach for the "green tic tacs" without even knowing the official flavor because they are familiar with the color, and changing the packaging could affect that.

However, a potential benefit of changing the packaging is attracting new customers who would have otherwise overlooked the product. Making the packaging new and exciting might entice new people to become buyers.

A good way to test this would be with focus groups, which are groups of people who you ask to pretend to be the customer and give you feedback on the idea. Focus groups are a good way to learn the good and bad perceptions about a change before it is put into effect.

7 0
3 years ago
the link between home currency value of a firm's assets and liabilities and exchange rate fluctuations is
faltersainse [42]

Answer:

Asset exposure

Explanation:

Asset exposure shows the difference that lies between the exposed assets and the exposed liabilities. Here the long in currency is when the exposed assets are more than its liabilities and on the other hand the short in currency is when the exposed assets are less than its liabilities

In addition to this, the linking that need to be done between the firm asset and liabilities of home currency and the fluctuation in exchange rate would be also known as asset exposure

7 0
2 years ago
Job-Order Costing and Decision Making [LO2-1, LO2-2, LO2-3]
Anastaziya [24]

Answer:

a. $21 per machine hours

b. $4,855          

Explanation:

a. The computation of the plantwide predetermined overhead rate is shown below:

Plantwide predetermined overhead rate is

= Variable overhead cost rate per machine hour + Fixed overhead cost rate per machine hour

= $2 + (fixed manufacturing overhead cost ÷ Estimated machine hours)

= $2 + ($4,275,000 ÷  225,000 machine hours)

= $2 + $19

= $21 per machine hour

b. Now the total manufacturing cost assigned is

Particulars                                      Amount

Direct material                               $1,702        

Direct labor                                $1,221

Variable manufacturing overhead $168

(84 × $2)

Total variable cost                        $3,091

Add:

Fixed manufacturing overhead

(84 × $21)                                $1,764

Total manufacturing cost assigned

to Job P90                                    $4,855          

7 0
3 years ago
In a fixed-order-quantity system, when demand is uncertain, using economic order quantity (EOQ) based only on the average demand
Mrrafil [7]

Answer:

False

Explanation:

If the demand is uncertain, if you use average demand to calculate the economic order quantity (EOQ), you will have a high probability of a stock-out occurring.  

EOQ = √(2DS / H)

where:

D = annual demand in units

S = order cost per purchase order

H = holding cost per unit, per year

If D is uncertain, then the whole calculus will either be understated or overstated.

3 0
3 years ago
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