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juin [17]
3 years ago
13

Mondo Snow Removal's cost formula for its vehicle operating cost is $1,060 per month plus $429 per snow-day. For the month of Ja

nuary, the company planned for activity of 11 snow-days, but the actual level of activity was 13 snow-days. The actual vehicle operating cost for the month was $6,310. The activity variance for vehicle operating cost in January would be closest to:
Business
1 answer:
insens350 [35]3 years ago
7 0

Answer:

Activity variance = $858 unfavorable

Explanation:

The activity variance occurs as result of the difference between the actual level of work (activity) done and the budgeted level of  work as planned.

                                                                  $

Planned budget (1060 + (429× 11))   = 5,779

Flexible budget (1060 + (429 ×13)   = <u>6,637 </u>

Activity variance                               <u>     858  unfavorable</u>

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3 years ago
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If the reserve requirement is 5 percent, a bank desires to hold no excess reserves, and it receives a new deposit of $10, then t
jekas [21]

Answer:

c. will be able to make new loans up to a maximum of $9.50

Explanation:

If the reserve requirement is 5% it means that the bank is required to reserve(not loan out) 5% of it's reserves so in this case the bank is required to 5% of 10 (0.05*10) $0.50 as reserves and can loan out $9.50 (10-0.50). As the bank has no desire to hold on to excess reserves we can be sure that it will only hold 0.50 as reserve as it is required and loan out $9.50. So statement c is correct.

Statement A is incorrect because the bank does not need to increase required reserve by $10 but by just $0.50.

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8 0
3 years ago
Salma asked Lillie, "How did you do in the final assessment?" Lillie responded, "I knew everything!" Salma said, "So you can exp
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A confidence estimate.

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2 years ago
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down below

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