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Andreyy89
3 years ago
14

Taussig Snow Removal's cost formula for its vehicle operating cost is $1,880 per month plus $394 per snow-day. For the month of

February, the company planned for activity of 13 snow-days, but the actual level of activity was 14 snow-days. The actual vehicle operating cost for the month was $7,250. The activity variance for vehicle operating cost in February would be closest to:
Business
1 answer:
arsen [322]3 years ago
3 0

Answer:

$394 U

Explanation:

Calculation for the activity variance for vehicle operating cost in February would be

First step is to calculate the Flexible budget

Flexible budget= $1,880 + ($394 × 14)

Flexible budget=$7,396

Second step is to calculate the Planning budget

Planning budget= $1,880 + ($394 × 13)

Planning budget=$7,002

Last step is to calculate the activity variance for vehicle operating cost in Februar

Activity variance=Flexible budget $7,396-Planning budget $7,002

Activity variance=$394 U

Therefore The activity variance for vehicle operating cost in February would be closest to $394 U.

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The Refining Department of Crystal Cane​ Sugar, Inc. had 73 comma 000 tons of sugar to account for in December. Of the 73 comma
soldier1979 [14.2K]

Answer:

67,600 tons

Explanation:

Weighted average costing adds the value of beginning inventory in the period cost to calculate the average cost per unit.

According to this method the equivalent units formula is as follow

Equivalent Units  = Unit completed and transferred to Finished goods + Units in Work in Process x Completion percentage

Conversion

Equivalent Units  = 55,000 + 18,000 x 70% = 67,600 units

6 0
3 years ago
10. Benefits of free-trade agreements Suppose that Indonesian consumers previously faced higher prices on shoes than they do und
ivann1987 [24]

Increased variety of goods Indonesian consumers have enjoyed more consumer surplus from their shoe purchases than they did before their nation adopted an international agreement on trade restrictions.

Answer: Option C.

<u>Explanation:</u>

Free trade is the trading and exchange of goods and services between one country and the other country. This is done without any restrictions on the borders of the country that is there is no duties, taxes and so on are to be paid for the trade.

With the increase in the free trade agreement, the variety which is available with the consumers in the market also increases satisfying their needs and wants.

6 0
3 years ago
Restrictive trade barriers most likely influence the globalization of businesses by encouraging firms to ________. Grupo de opci
Vanyuwa [196]

Answer:

switch from exporting to overseas manufacturing

Explanation:

  • The restrictive trade barriers are those don't favour the trade to take place and they place restrictions on the quality and quantity to be imported into a country.
  • Quotas and tariffs are some of the restrictions that are placed by the governments of the countries for the collection of the revenue.
  • <u>And increases the forms revenue base through the exports usually done to protect from the cheap labour and to make improvements in the trade deficits and protect the domestic suppliers and infant industries. </u>
3 0
3 years ago
True or false: A decision tree is an analytical tool that can help managers to understand the possible consequences of their dec
ludmilkaskok [199]

Answer:

True

Explanation:

A decision tree is useful in helping managers comprehend the possible consequences of their decisions and establish a model to attain their goal

5 0
4 years ago
The Martian Corporation, a space vehicle development company, is starting a new division that will develop the next-generation l
JulijaS [17]

Answer:

21.77%

Explanation:

       Year          Cashflows

1          0              $ - 50,000

2         1                $ 11,000

3         2                $ 11,000

4         3                $ 11,000

5         4               $ 11,000

6         5               $ 11,000

7         6               $ 11,000

8         7               $ 11,000

9         8               $ 11,000

10        9                $ 3,000

Borrowing Rate = 11%  = 0.11

Investment rate = 28% = 0.28

To calculate the PW(expense) and FW(revenue); we go by the formula:

PW= \frac{F}{(1+i)^0}-3000

PW = \frac{-50,000}{(1+0.11)^0}-3000

PW = \frac{-50,000}{1}- 3000

PW = - 53,000

FW = P(1+i)^n

FW = 11,000(1+0.28)^{9-1}+11,000(1+0.28)^{9-2}+11,000(1+0.28)^{9-3}...11,000(1+0.28)^{9-8}

FW = $ 312061.0443

To calculate MIRR; we use the formula:

1+ MIRR = (\frac{FW}{PW} )^{1/n}

1+ MIRR = (\frac{31,2061.0443}{53,000} )^{1/9}

1+ MIRR = 1.2177

MIRR = 1.2177- 1

MIRR = 0.2177

MIRR = 21.77%

6 0
3 years ago
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