Answer: the value of the best opportunity a student gives up to attend college
Explanation: Opportunity cost is the cost of loosing benefits that one could have received if he or she would have chosen one alternative over the other. Usually the chosen alternative is the best and the rejected one is the second best.
Therefore, if a student decides to get to college the other opportunities that he might have chosen like doing a job or business is his opportunity cost.
Hence from the above we can say that the right option is B.
Answer:
a. credit to common stock for $625,000
Explanation:
When a company acquires more than 75% of holding in any company along with significant control then it is known as subsidiary. The company Is then able to record investment in subsidiary as debit balance in its statement of financial position. The cash consideration paid for acquiring the stock is recorded as investment in subsidiary. When the Pisa Company acquired Siena Company it has recorded the investment in Siena but when additional share are purchased Pisa will raise its stock capital.
Answer:
a. $13
b. $20,625 Unfavorable
Explanation:
a. Computation of overhead volume variance is shown below:-
Variable overhead rate = Variable overhead cost ÷ Expected standard hours
= $275,000 ÷ 25,000
= 11 direct labor hour
Fixed overhead rate = Productive capacity ÷ Expected standard hours
= $50,000 ÷ 25,000
= $2 direct labor hour
Total overheard rate = Variable overhead rate + Fixed overhead rate
= $11 + $2
= $13
b. The computation of overhead controllable variance is shown below:-
Variable overhead cost = Overhead rate × Standard hours
= $11 × 21,875
= $240,625
Fixed overhead cost = Overhead rate × Standard hours
= $2 × 21,875
= $43,750
Total overhead cost = $13 × 21,875
= $284,375
Actual result = $305,000
Variance = Actual result - overhead cost applied
= $305,000 - $284,375
= $20,625 Unfavorable
Working note:-
Standard direct labor hours = Actual units ÷ Standard hours
= 35,000 × 1.6
= $21,875
Standard units per hour = (Standard capacity × Expected production) ÷ Standard hours
= (50,000 units × 80%) ÷ 25,000 hours
= 1.6 units per hour
It would depend on supply and demand. If a company’s stock is excelling or doing presentably good then more people will buy it and this raises the prices. When stocks are presumably not doing well the prices will plummet making it cheap.
Answer:
Cost per equivalent unit: $60
Explanation:
Cost per equivalent unit = (Cost of Beginning Work in Progress Inventory + Total production cost during the period) / Equivalent Units of Production (EUP)
Total Production Cost = $90,000
Equivalent Units of production (EUP) = 1,300 + 400 x 50% = 1,500 units
Cost per equivalent unit: $90,000 / 1,500 units = $60
