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2 years ago

True or false: The labor rate variance measures the productivity of direct labor. True false question. True False

Business

1 answer:

san4es73 [151]2 years ago

3 0

Answer:

False 

Explanation:

The labor rate variance reflects the difference between the actual and standard direct labor.

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Smith Company makes and sells a single product called a Pod. Each Pod requires 1.4 hours of labor at a labor rate of $9.60 per h

Ganezh [65]

Answer:

Total direct labor costs= $295,680

Explanation:

Giving the following information:

Each Pod requires 1.4 hours of labor at a labor rate of $9.60 per hour.

Production= 22,000 Pods.

First, we need to calculate the total direct labor hours required:

Total direct labor hours= 22,000*1.4= 30,800 hours

Now, the total direct labor costs:

Total direct labor costs= 30,800*9.6

Total direct labor costs= $295,680

3 0

4 years ago

Headland Co. has a held-to-maturity investment in the bonds of Schuyler Corp. with a carrying value of $79,200. Headland determi

Allisa [31]

Answer:

The Journal Entry is as follows:

Loss on Impairment $8,400

Debt Investment ($8,400)

Explanation:

Given.

Carrying Value = $79,200

Decreased Value = $70,800

Differences = $79,200 - $70,800

Differences = $8,400

Since the loss in value is determined, uncollectible.

The required entry on the journal entry are the amount loss on impairment and the amount invested on debt.

The Journal Entry is as follows:

Loss on Impairment $8,400

Debt Investment ($8,400)

7 0

3 years ago

Pepsico's CFO uses this equation, which was developed by regressing inventories on sales over the past 5 years, to forecast inve

Mandarinka [93]

Answer:

The inventory forecast for next year is $ 120.4.

Explanation:

In this question relationship between sales and inventory is expressed in the form of an equation. This problem requires us to tell the value of inventory if sales is $ 400. So we can simply calculate the inventory value by putting value of x= 400 in the equaltion given in the question.

Inventories = $26.8 + 0.234 x

Inventories = $26.8 + 0.234 ($400)

Inventories = $ 120.4

(Assume sales increase is due to increase in quantity sold not price)

5 0

3 years ago

Prepare the issuer’s journal entry for each of the following separate transactions.a. On March 1, Atlantic Co. issues 51,000 sha

Shalnov [3]

Answer:

March 1

Account Debit Credit

Cash $323,000

Common Stock $153,000

Paid-In Capital in Excess

of Par Value $170,000

April 1

Account Debit Credit

Cash $87,000

Common Stock-no par value $87,000

April 6

Account Debit Credit

Inventory $56,000

Common Stock $56,000

Machinery $170,000

Paid-In Capital in Excess of

Common Stock $170,000

Note Payable $92,000

Cash $92,000

4 0

4 years ago

Residential Electricity Commercial Electricity Residential Natural Gas

salantis [7]

Answer:

Refer explanation

Explanation:

Price elasticity of demand is the % change in quantity demanded to a % change in price. There are five degrees of price elasticity of demand:

1. Perfectly elastic: Quantity demanded changes even without a change in price.

2. Elastic: Change in price causes a higher change in quantity demanded. PED > 1

3. Unit elastic: Change in price leads to a proportionate change in quantity demanded. PED = 1.

4. Inelastic: Change in price creates a lower change in quantity demanded. PED < 1

5. Perfectly inelastic: Even if price changes, there is no change in quantity demanded.

a. In the short run, PED for residential electricity is 0.24. This is less than 1, suggesting that PED is inelastic. Hence, a change in price will lead to a smaller change in quantity demanded.

b. Commercial electricity has a PED of 0.21 which is similar to residential electricity but it can be said that it is more price inelastic than residential electricity of 0.03 (0.24 - 0.21). Hence, a change in price will create an even smaller change in quantity demanded than residential electricity.

c. In the long run, residential PED is 0.32 whilst commercial PED is 0.97. Whilst both are still inelastic, it can be said that commercial electricity demand is now much more responsive to price than it was in the short run. Since 0.97 is closer to 1, it can be assumed that a change in price will create an almost proportionate change in quantity demanded. The reason that both electricity demand is less inelastic in the long run is since now they have more time to adjust and switch to other substitutes.

d. Price elasticity of demand is calculated as the % change in quantity demanded divided by the % change in price.

PED = % change in Qd / % change in price

When substituted for residential electricity in the long run

0.32 = % change in Qd / 1

0.32 x 1 = % change in Qd

% change in Qd = 0.32

When substituted for commercial electricity in the long run

0.97 = % change in Qd / 1

0.97 x 1 = % change in Qd

% change in Qd = 0.97

8 0

3 years ago