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leonid [27]
3 years ago
5

Chong Corporation recently prepared a manufacturing cost budget for an output of 50,000 units, as follows: Direct materials $100

,000 Direct labor 50,000 Variable overhead 75,000 Fixed overhead 100,000 Actual units produced amounted to 60,000. Actual costs incurred were: direct materials, $110,000; direct labor, $60,000; variable overhead, $100,000; and fixed overhead, $97,000. If Chong evaluated performance by the use of a flexible budget, a performance report would reveal a total variance of: $42,000 unfavorable. $23,000 favorable. $3,000 favorable. $27,000 unfavorable. None of the answers is correct.
Business
1 answer:
KATRIN_1 [288]3 years ago
7 0

<u>Solution and Explanation:</u>

The following table has been made in order to find out the total variance cost that has been incurred and the total cost

<u>Particulars</u> <u>Cost formula based</u>    <u>Flexible budget  </u>      <u>Actual</u> <u>Variance</u>  

                           <u> on 50000 units</u>          <u>on the basis of </u>

                                                                      <u>60000 unit</u>

Direct materials          $2                            120000 $110000 10000 F  

The direct labour             $1                           60000      60000 0  

Variable overhead              $1.5                      90000 100000 10000 U  

Fixed overhead                $100000               100000 97000 3000 F  

The total cost                                                370000  367000 3000 F  

Where F stands for – favourable and U stands for unfavourable

The total variance cost after the above calculations is = $3000 F

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3 years ago
One of the main factors when determining which companies to buy policies from is whether or not the company is _____ strong.
Valentin [98]

One of the main factors when determining which companies to buy policies from is whether or not the company is Death benefit strong.

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  • You can compute a company's financial ratios using fundamental analysis to assess the viability of an investment.
  • Three basic valuation techniques are employed by business professionals when determining a firm's value as a continuing concern:

(1) DCF analysis,

(2) similar company analysis,

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<h3>What death benefit means?</h3>

To start, let's define death benefit: It's the money – lump sum or otherwise – that gets paid to your beneficiaries if you die while your life insurance policy is in effect.

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4 0
2 years ago
Matthew Martin, the sole stockholder of Innovation Consulting, started the business by investing $40,000 cash in exchange for co
Ber [7]

Answer:

The correct answer is option (B).

Explanation:

According to the scenario, the given data are as follows:

Investing in business = $40,000 in exchange of common stock

This shows that, when investing in business cash is being debited and as cash is being used to buy common stock so, Common stock is being credited in journal entry.

So, the journal entry that Innovation consulting will make are as follows::

Journal Entries  

    Particulars                                Debit                       Credit

     Cash                                    $40,000.00  

   To Common stock                                            $40,000.00

Hence, this shows the correct answer is option (B).

3 0
3 years ago
Sara Co. had the following account balances: Sales revenue $ 220,000 Cost of goods sold 110,000 Salaries and wages expense 15,00
gizmo_the_mogwai [7]

Answer:

Sara Co total expenses in a single-step income statement is $231000 as found in the attached

Explanation:

Single-step income statement gives the net profit of a business by deducting total expenses from total revenue.

It differs from two-step income statement where  revenue expenses are categorized into, namely direct and indirect,which enables the gross profit and net profit to be calculated differently.

Since total revenue for Sara Co from all sources is $256,000,the resultant net profit for the year is $25000($256000-$231000).

Download xlsx
6 0
3 years ago
Which situation is consistent with the law of diminishing marginal utility? a. The more pizza Joe eats, the more he enjoys an ad
Bas_tet [7]

Answer:

b. The more pizza Joe eats, the less he enjoys an additional slice

Explanation:

The law of diminishing marginal utility says that when a person consumes more and more unis, the marginal utility from additional units goes decrease as marginal utility is an additional units derived.

The graph of the law of diminishing marginal utility declines

As in the given scenario,  the Joe eats more pizza, so if he enjoys an additional slice then from each additional slice he less enjoys than before

6 0
4 years ago
Read 2 more answers
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