One who buys, stores, and resells large quantities of goods

Levine Inc., which produces a single product, has prepared the following standard cost sheet for one unit of the product. Direct

raketka [301]

Answer:

Standard material quantity allowed = 270 units × 8 pounds

= 2,160

Material Price variance = Actual Quantity (Standard price - Actual price)

= 2,100 (3.90 - 4.00)

= 210 Unfavorable

Material Qty variance = Standard price (Standard quantity - Actual quantity)

= 3.90 (2,160 - 2,100 )

= 234 Favorable

Total Material Variance:

= (Standard quantity × Standard price) - (Actual Quantity × Actual price)

= (2,160 × 3.90) - (2,100 × 4)

= 24 Favorable

Labour rate variance = Actual hours (Standard rate - Actual rate)

= 1390(14 -13.80 )

= 278 Favorable

Labor efficiency variance = Standard rate (Standard hours-Actual hours)

= 14 (1350 -1390)

= 560 Unfavorable

Total Labour cost variance:

= (Standard hours × Standard rate) - (Actual Hours × Actual rate)

= (1350 × 14) - (1390 × 13.80)

= 282 Unfavorable

3 0

3 years ago

Quantitative Problem: Rosnan Industries' 2013 and 2012 balance sheets and income statements are shown below.

Whitepunk [10]

Answer:

20

Explanation:

8 0

4 years ago

Insourcing incurs an annual fixed cost of $500,000 and a variable cost of $60 per unit. Outsourcing incurs an annual fixed cost

MatroZZZ [7]

Answer:

The indifference point is 6,250 units

Explanation:

First, we need to structure the total cost formulas:

Insourcing:

Total cost= 500,000 + 60*x

x= number of untis

Outsourcing:

Total cost= 750,000 + 20*x

x= number of units

Now, we equal both formulas and isolate x:

500,000 + 60x = 750,000 + 20x

40x = 250,000

x= 6,250

The indifference point is 6,250 units

Prove:

Total cost= 500,000 + 60*6,250= $875,000

Total cost= 750,000 + 20*6,250= $875,000

6 0

3 years ago

Consider the economy of Arcadia. Its households spend 75% of increases in their income. There are no taxes and no foreign trade.

Allisa [31]

Answer:

The economy has an actual output of 700 billion, and its potential ouput was 600 billion, therefore, we can say that the economy is already performing well, beyond potential, for this reason, the government should simply not intervene, because government intervetion reduces the economic efficiency of market outcomes.

If the economy was below potential, the government could tax some of the 25% income that households save, in order to increase spending. This would promote economic growth, bringing the economy closer to potential.

7 0

3 years ago

"A customer contributed $50,000 to a variable annuity contract. The account value has grown over the years and the NAV is now $7

makvit [3.9K]

Answer: $20,000 of the distribution is taxable and $5,000 is not taxable

Explanation:

The options to the question are:

A. The entire $25,000 distribution is not taxable

B. $5,000 of the distribution is taxable and $20,000 is not taxable

C. $20,000 of the distribution is taxable and $5,000 is not taxable

D. The entire $25,000 distribution is taxable.

From the question, we are told that a customer contributed $50,000 to a variable annuity contract and that the account value has grown over the years and the NAV is now $70,000.

We are further told that the customer is now age 60, and takes a lump-sum distribution of $25,000 to pay for expenses. This indicates that there will be tax deductible in the amount of :

= $70000 - $50000 = $20,000. It should also be noted that $5000 won't be taxed.

4 0

4 years ago