Answer:
The correct answer is option A.
Explanation:
Explicit cost is the direct cost incurred on the inputs such as wages and salaries, raw materials, etc. While on the other hand, the implicit costs are the indirect costs incurred through the use of self-owned resources such as foregone income.
Implicit costs are the opportunity cost of using a self-owned resource that could have been alternatively used to generate some income.
Explicit costs are considered in computing accounting profits, the implicit cost is not considered.
Answer:
actual quantity of the cost-allocation base used and the budgeted quantity of the cost-allocation base that should have been used to produce the actual output
Explanation:
The formula to calculate the variable overhead efficiency variance is shown below:
= (Standard quantity - actual quantity) ÷ budgeted variable overhead cost per unit
In the case when the standard quantity is more than the actual one so it is favorable else unfavorable
Therefore the last option is correct
And, the other options are wrong
Answer:
The correct answer is D: 102.92
Explanation:
The Consumer Price Index (CPI) is a measure that examines the weighted average of prices of a basket of consumer goods and services, such as transportation, food, and medical care. It is calculated by taking price changes for each item in the predetermined basket of goods and averaging them.
CPI index= (cost of the basket in a given year/cost of the market basket at base)*100
CPI index= (70/68)*100= 102.94
A store of value, but not a medium of exchange.
