Answer:
$0.19 per direct labor hour
Explanation:
It is important to keep in mind the following :
Overhead application rate = Budgeted Overheads ÷ Budgeted Activity
also,
Applied Overheads = Overhead application rate x Actual Activity
Using the formula :
Applied Overheads = Overhead application rate x Actual Activity
hence,
Overhead application rate = Applied Overheads ÷ Actual Activity
therefore,
Overhead application rate = $6,500 ÷ $35,000
= $0.185 or $0.19 per direct labor hour
Answer:
Option C The income Effect
Explanation:
Student has inelastic demand for gasoline as the increase in the price of gas does not change the consumption of gas instead it decreases the consumption of pizza as the consumer has less relative income so spend less on the pizza and sped more on the gasoline.
Answer:
$200,000
Explanation:
In the given case, The distribution which is treated as a dividend is equal to the current E&P i.e $200,000 because the distributions are paid first by current E&P and when it is consumed then the balance of accumulated E&P got reduced.
So, it also consider the current E&P as a dividend
All other information which is given is not relevant. Hence, ignored it
Answer:
<em>The company should use all of its limited machine hour to produce only product B. This will make it maximize profit</em>
Explanation:
<em>Whenever a company is faced with a limiting factor i.e a resource in short supply, the company should allocate the resource to the product with he highest contribution per unit of the scare resource</em>
Product Cont/unit machine hr /unit cont/hr Ranking
A 6-2 = $4 per unit 2 hours $2 per hour 2nd
B 5-2 = $3 per unit 1 hour $3 per hour 1st
<em>The company should use all of its limited machine hour to produce only product B. This will make it maximize profit</em>
