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MAXImum [283]
2 years ago
12

Which of the following statements are true concerning the predetermined overhead rate when the direct labor-hour requirement for

the Deluxe model dropped from 5 hours to 2 hours?
a. The predetermined overhead rate decreases because the total estimated overhead cost increased.
b. The predetermined overhead rate decreased because the total direct labor-hours dropped.
c. The predetermined overhead rate increased because the total estimated overhead cost increased.
d. The predetermined overhead rate increased because the total direct labor-hours dropped.
Business
1 answer:
In-s [12.5K]2 years ago
6 0

Answer: The predetermined overhead rate increased because the total direct labor-hours dropped

Explanation:

The predetermined overhead rate refers to an allocation rate which is used in applying the estimated manufacturing overhead cost to the cost objects for a particular reporting period.

When there's reduction in the direct labor-hour requirement from 5 hours to 2 hours, the predetermined overhead rate increased because the total direct labor-hours dropped

The predetermined overhead rate is calculated as the total overhead cost divided by the machine hour. Therefore, if there's reduction in the direct labor hour rate, then there will be a rise in the predetermined overhead rate.

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Petroski Natural Dying Corporation measures its activity in terms of skeins of yarn dyed. Last month, the budgeted level of acti
algol13

Answer:

$577 Unfavorable

Explanation:

The calculation of spending variance for dye costs is shown below:-

Spending variance for dye cost = (Standard rate - Actual variable) × Actual units

= ($0.67 - $13,910 ÷ 19,900) × 19,900

= (0.67 - 0.69899) × 19,900

= $577 Unfavorable

Therefore for computing the spending variance for dye costs we simply applied the above formula.

6 0
3 years ago
Family Farms Inc., a company which deals in dairy products, adheres to a standard of behavior for its employees, and it follows
Misha Larkins [42]

Answer:

The right response is "Business ethics".

Explanation:

  • An ethics framework that always considers the moral standards as well as problems that occur mostly in a corporation but also function as a guide for the behavior of people throughout the organization.
  • Meanwhile, corporation governments facilitate the collection of values and conventions governing as well as controlling the business of the company.
4 0
3 years ago
Paula is in charge of maintaining good relationships between her organization and local government, business leader groups, and
N76 [4]

Answer:

a. public relations

Explanation:

As the name suggest that public relations means the relations that should be made between the organization and the general public, local government, leader groups, etc. It would create a positive image for the public at large by communicating with the people so that they get to know about the company

Therefore according to the given situation, the option a is correct

4 0
2 years ago
Gourmet Aroma Coffee House has an exclusive contract with Columbia exporters. Two brands of gourmet coffee are imported, Morning
Marina86 [1]

Answer:

$24,160 favorable

Explanation:

The computation of the total contribution margin sales volume variance is given below:

The Budgeted contribution margin per pound of MT is

= $40 - $20

= $20 per pound

Now the budgeted contribution margin per pound of ET is

= $60 - $30

= $24  per pound

MT's contribution margin sales volume variance is

= (Actual sales quantity - Budgeted sales quantity) × Budgeted contribution margin per pound

= (3960 - 4000) × $20

= $800 Unfavorable

ET's contribution margin sales volume variance is

= (Actual sales quantity - Budgeted sales quantity) × Budgeted contribution margin per pound

= (5,040 - 4000) × $24

= $24,960 favorable

Now the total contribution margin sales volume is

= $800 unfavorable + $24,960 favorable

= $24,160 favorable

8 0
2 years ago
. If the price elasticity of demand for pineapple is 0.75, a 4% increase in the price of pineapple will lead to a A. 3% decrease
ludmilkaskok [199]

Answer:

A) 3% decrease in the quantity demanded of pineapple.

Explanation:

We know that the demand curve is negative, which means that as price of a product increases, its demand will decrease.

In unitary elasticity(1) the change in demand means that the change in quantity demanded will be the same. A 0.75 elasticity will thus mean that the quantity demanded will change by a factor of 0.75 as compared to the change in price.  

Therefore when the price of pineapple increases by 4%, the quantity demanded will decrease by 4 * 0.75 = 3%

3 0
2 years ago
Read 2 more answers
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