1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
NARA [144]
3 years ago
11

Nexus Industries uses a standard costing system to apply manufacturing costs to its production process. In​ May, Nexus anticipat

ed producing units with fixed manufacturing overhead costs allocated at per direct labor hour with a standard of direct labor hours per unit. In​ May, actual production was units and actual fixed manufacturing overhead costs were . What was​ Nexus' fixed manufacturing overhead volume variance in​ May?
Business
1 answer:
Mama L [17]3 years ago
8 0

Answer:

$33,700 (Favorable)

Explanation:

Note: Figures are not inputted. The missing figures have been figured out as below.

"<em>Nexus industries uses a standard costing system to apply manufacturing costs to its production process. In May nexus anticipated 2700 units with fixed manufacturing overhead costs allocated at $8.40 per direct labor hour with a standard of 2.5 direct labor hours per unit. In May, actual production was 3400 units and actual fixed manufacturing overhead cost were $23000.  What was nexus fixed manufacturing overhead volume variance in May</em>?"

Solution:

Budgeted fixed overhead costs = Units * Direct labor cost * Standard Direct Labor hours per unit

= 2,700 units * $8.40 * 2.5

= 2,700 units * 21

= $56,700

Fixed manufacturing overhead volume variance = Actual fixed overhead cost - Budgeted fixed manufacturing overhead costs

When Actual fixed overhead = $23,000 ,  Budgeted fixed overhead costs = $56,700

Fixed manufacturing overhead volume variance = $23,000 - $56,700

= $33,700 (Favorable) .

You might be interested in
Ladiator Apparel is the market leader in the sportswear industry. Though most of its resources are common to those of its compet
topjm [15]
D) the company’s raw materials
The reason being is that it’s the only option where it has more unique potential cause the other ones anyone could get
4 0
3 years ago
Crockin Corporation is considering a machine that will save $9,000 a year in cash operating costs each year for the next six yea
Roman55 [17]

Answer:

IRR = 16.5%

Explanation:

T<em>he IRR is the discount rate that equates the present value of cash inflows to that of cash outflows. At the IRR, the Net Present Value (NPV) of a project is equal to zero  </em>

<em>If the IRR greater than the required rate of return , we accept the project for implementation  </em>

<em>If the IRR is less than that the required rate , we reject the project for implementation  </em>

IRR = a% + ( NPVa/(NPVa + NPVb)× (b-a)%

NPV = PV of annual savings - initial cost

PV of annual savings = A× (1- (1+r)^(-n) )/r

A- annual savings in operating cost , r- rate of return, n- number of years

NPVa  at 10% discount rate

PV of cash inflow = (9,000×  1-1.1^-6)/0.1 =   39,197.35  

NPV =    65,328.91 - 33,165 =  6,032.35  

NPVb at 20% discount rate

PV of cash inflow = (9,000×  1-1.2^-6)/0.2=  (3,235.41)

NPV = 29,929.59  -33,165 = (3,235.41)

IRR = a% + ( NPVa/(NPVa + NPVb)× (b-a)%

IRR = 10% + ( (6,032.35/(6,032.35 +3,235.41) )× (20-10)%= 16.51%

IRR = 16.5%

8 0
3 years ago
The financing section of a cash budget is needed if there is a cash deficiency or if the ending cash balance is less than Entry
WITCHER [35]

Answer:

A. Management's minimum required balance.

Explanation:

The minimum balance is the minimum dollar sum that a client must have in an account to get some service benefit, for example, keeping the account open or getting premium.

4 0
3 years ago
The following are several of the accounts from a recent balance sheet.
Burka [1]

Answer:

<u>Account Name</u>      <u>Balance Sheet Classification</u>    <u>DR or CR Balance </u>

1. Accounts Receivable                    CA                       Debit

2. Prepaid Expense                    CA                        Debit

3. Inventories                                    CA                       Debit

4. Long-Term Debt                   NCL                 Credit

5. Cash and Cash Equivalent    CA                 Debit

6. Accounts Payable                    CL                 Credit

7. Income Tax Payable                    CL                 Credit

8. Contributed Capital                    SE                         Credit

9. Property Plant and Equipment    NCA                 Debit

10. Retained Earning                    SE                  Credit

11. Short-Term Borrowing            CL                 Credit

12. Accrued Liabilities                    CL                 Credit

13. Goodwill (an Intangible Asset)  NCA                 Debit

 

Explanation:

6 0
3 years ago
The distinguishing feature of economic capital (as opposed to financial capital, like money) is that it is:__________. a. expens
seraphim [82]

Answer:

C. Productive

Explanation:

3 0
3 years ago
Other questions:
  • Javonte Co. set standards of 2 hours of direct labor per unit of product and $15.80 per hour for the labor rate. During October,
    5·1 answer
  • Sameer does not smoke. Every day he walks past a billboard advertising Camel cigarettes. In class, the instructor was talking ab
    11·1 answer
  • PLEASE HELP!!! What is the name for the highest amount a policyholder pays for deductibles, coinsurance, and co payments?
    11·1 answer
  • Many experts say that the most distinctive skill a professional marketer might have is the ability to build and manage a​ ______
    15·1 answer
  • Sunland Company manufactures a line of lightweight running shoes. CEO Mark Sunland estimated that the company would incur $3,379
    6·1 answer
  • Which is a technique advertisers employ to increase consumer demand for their goods and services?
    9·1 answer
  • At the end of the accounting period on December 31, 2022, Rose Industries records wages payable of $42,500. For the same account
    12·1 answer
  • Frazer Corp sells several products. Information of average revenue and costs is as follows: Selling price per unit $28.50 Variab
    10·1 answer
  • Dirk required surgery for a kidney impairment. His total bill for medical services was $50,000. Dirk has a medical expense polic
    5·1 answer
  • for a manufacturing company that set a strategic goal to reduce waste by 15%, each division in the organization can use the ____
    13·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!