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3 years ago

An unfavorable materials quantity variance indicates that: Garrison 16e Rechecks 2017-08-17 Multiple Choice

Business

1 answer:

Whitepunk [10]3 years ago

6 0

Answer:

Actual usage of material exceeds the standard material allowed for output.

Explanation:

Material quantity variance occurs when the actual quantity used to achieved a given level of output is greater or less than the standard material allowed.

It is determined by the difference between the actual and standard quantity of material for the actual level of output multiplied by the the standard price

An unfavorable materials quantity occurs when the actual quantity used to achieved a given level of output is greater than the standard material allowed.

It is might be an indication of wastage in the usage of materials or inefficiencies.

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3 years ago

A metal fabrication company is considering entering the global market. It is unsure of what steps to take and is looking for a c

alexira [117]

Answer:

enter into a joint venture.

Explanation:

Based on the information provided within the question it can be said that the company's best option in this scenario would be to enter into a joint venture. This term refers to a business arrangement where various parties agree to combine all of their resources (including personnel) in order to achieve the same goal. Which would benefit the metal fabrication company since the partner company would provide the knowledge and experience of the host country market and they would in term provide more resources to the partnership.

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3 years ago

What is a bank that belongs to the federal reserve system called?

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A bank belonging to the Federal Reserve System is a member bank.

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4 years ago

Read 2 more answers

The Crispy Baking Company is considering the expansion of its business into door-to-door delivery service. This would require an

Anna11 [10]

Answer:

b) $17,500

Explanation:

First, the multiple options to the question are as follows

a) $12,500 b) $17,500 c) $19,750 d)$20,425

Solution

The question is to determine which of the costs to be incurred in a door-to-door delivery service is a differential cost per month

The following costs have been given:

1) an additional $12,500 in labor costs per month

2) an additional gas, oil and maintenance to the tune of $5,000

3) Home delivery use of trucks allocated 45% of existing $6,500 fixed vehicle costs.

It should however be noted that, the costs we call differential are only the ones that are particularly attributed to the home delivery market service and as such they will only include variable costs not fixed costs

Therefore, the differential costs = $12,500 for labor + $5,000 for maintenance

= $17,500

8 0

3 years ago

Stephanie, Inc. sells its product for $40. The variable costs are $18 per unit. Fixed costs are $16,000. The company is consider

Yuliya22 [10]

Answer:

It will increase

Explanation:

Before the purchase of the automated machine, break even point is computed as follows:

Sale price: $40

Less variable cost: $18

Therefore, contribution per unit = $40 - $18 = $22.

With fixed cost at $16,000, breakeven point in units = $\frac{Fixed Cost}{Contribution}$

= 16,000/22

Break even cost = 727.27 units.

With the purchase of the automated machine, break even point is computed as follows:

Sale price: $40

Less variable cost: ($18 - $2) = $16

Therefore, contribution per unit = $40 - $16 = $24.

Fixed cost = $16,000 + $5,000 = $21,000.

Breakeven point in units = 21,000/24

Break even cost = 875 units.

Therefore, breakeven point will increase as a result of the purchase of the automated machine.

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3 years ago