Answer:
A. $720 Unfavorable
B. $840 Unfavorable
C. $1,560 Unfavorable
D. $800 Favorable
E. $30 Unfavorable
F. $790 Unfavorable
Explanation:
The computation of given question is shown below:-
A. Sales = (Budget quantity - Actual quantity) × Budgeted sale price
= ($8.10 - $7.80) × 2,400
= $0.3 × 2,400
= $720 Unfavorable
B. Variable manufacturing = (Actual variable cost - Budgeted variable manufacturing cost) × Budgeted sale price
= ($4.25 - $3.90) × 2,400
= $0.35 × 2,400
= $840 Unfavorable
C. Contribution margin = ((Budgeted sales price - Budgeted variable manufacturing cost) - (Actual sale price - Actual variable cost)) × Budgeted sale price
= (($8.10 - $3.90) - ($7.80 - $4.25)) × 2,400
= $0.65 × 2,400
= $1,560 Unfavorable
D. Fixed manufacturing = Actual fixed manufacturing cost - Budgeted Fixed manufacturing cost
= $1,300 - $2,100
= $800 Favorable
E. Fixed selling and admin cost = Actual selling and administrative costs - Budgeted fixed selling and administrative cost
= $530 - $500
= $30 Unfavorable
F. Net income (loss) = Contribution margin - Fixed manufacturing + Fixed selling and admin cost
= $1,560 - $800 + $30
= $790 Unfavorable
Answer:
Break even point in dollars = $28,000
Explanation:
We know Sales - Variable Cost = Contribution
Thus, if we are provided that Variable expenses = 65% then contribution = 100 - 65 = 35%
Also provided selling price per unit = $28
Contribution Therefore = $28 
35% = $9.80
Break even point in dollars = 
Here, fixed cost = $9,800
Contribution margin = 35%
Putting values in above formula we have,
Break even point in dollars = 
Answer:
e. air-travel and weed killer
Explanation:
Cross price elasticity of demand measures the responsiveness of quantity demanded of good A to changes in price of good B.
If the cross price elasticity is zero, there is no relationship between the pair of goods
If cross price elasticity of demand is positive, it means that the goods are substitute goods.
The cross price elasticity of beef and pork and a laptop computer and a desktop computer should be positive
If the cross-price elasticity is negative, it means that the goods are complementary goods
. The cross price elasticity of an iPhones and earbuds should be negative
Answer
The answer and procedures of the exercise are attached in the following archives.
Explanation
You will find the procedures, formulas or necessary explanations in the archive attached below. If you have any question ask and I will aclare your doubts kindly.
Answer: B. Nina will prefer L to M.
Explanation:
Convex utility of wealth function, u(x) is the risk-loving consumer having a a convex utility function, it's slope gets steeper as the wealth increases making the curvature of the utility function measuring the customer's attitude towards risk
Nina will prefer L to M as she has convex utility function as risk loving.
