Answer:
a. $32,000 unfavorable
Explanation:
The computation of the direct labor efficiency variance for October is shown below:-
Direct labor efficiency variance = (Standard hours for actual production - Actual hrs) × Standard rate per hour
= (5,700 × 2 - $234,000 ÷ $18.00) × $20
= (11,400 - $13,000) × $20
= $1,600 × $20
= $32,000 unfavorable
Therefore for computing the direct labor efficiency variance for October we simply applied the above formula.
The minimum price that this order could be offered is at cost. Since there are no cost figures in this question, this is the best answer I can give.
You would need to at least sell the item for the amount of money it cost you to make, assemble, and ship the product.
Answer:
Production= 60,740
Explanation:
Giving the following information:
Sales= 59,700
Beginning inventory= 6,410
Desired Ending inventory= 7,450
<u>To calculate the production for the year, we need to use the following formula:</u>
Production= sales + desired ending inventory - beginning inventory
Production= 59,700 + 7,450 - 6,410
Production= 60,740
Sue will pay back $507.20 in interest expense.
Explanation:
The formula for calculating simple interest is:
SI = P x r x t ÷ 100
- P = Principal
- r = Rate of Interest
- t = Term of the loan/deposit in years
In the given problem,
- Sue Gastineau borrowed $17,000 from Regions Bank so, P = $17000
- Sue Gastineau borrowed $17,000 from Regions Bank at a rate of 5.5%, so r = 5.5 %
- Number of days of the loan = March 5 to September 19
- Sue borrowed $17,000 from Regions Bank for the period of = 198 days, So t = 198 / 365
Simple Interest = (17000 * (5.5/100) * (198/365))
Simple Interest = (17000 * (0.055) * (0.5424657534246575))
Simple Interest = (17000 * (0.055) * (0.5424657534246575))
Simple Interest = $507.20
Answer:
The maximum price that should be paid for one share of the company today is $54.895
Explanation:
The price of a stock that pays a dividend that grows at a constant rate forever can be calculated using the constant growth model of Dividend discount model (DDM) approach. The DDM values a stock based on the present value of the expected future dividends. The formula for price today under this model is,
P0 = D1 / r - g
Where,
- D1 is the expected dividend for the next period or D0 * (1+g)
- r is the required rate of return
- g is the growth rate in dividends
SO, the maximum that should be paid for this stock today is:
P0 = 2.2 * (1 + 0.048) / (0.09 - 0.048)
P0 = $54.895 rounded off to $54.90
