Direct Materials Variances
The following data relate to the direct materials cost for the production of 2,100 automobile tires:
Actual: 58,400 lbs. at $1.95 $113,880
Standard: 56,600 lbs. at $2.00 $113,200
a. Determine the direct materials price variance, direct materials quantity variance, and total direct materials cost variance. Enter a favorable variance as a negative number using a minus sign and an unfavorable variance as a positive number.
Price variance $
Quantity variance $
Total direct materials cost variance $

Answer and Explanation:

The computation is given below:

We know that

Direct Material Price variance = (Actual Price - Standard Price) × 58400

= ($1.95 - $2) × 58400

= $2,920 Unfavourable

Direct Material Quantity variance = (Standard Quantity - Actual Quantity) ÷ Standard Price

= (56,600 - 58,400) × 2

= $3,600 Unfavourable

and,

Direct Material Cost variance = Standard Cost - Actual Cost

= $113,200 - $113,880

= $680 Unfavourable

In​ mid-2019, an article in the Wall Street Journal quoted an investment analyst as stating that​ "heightened expectations of a​ [federal funds] rate cut may now force the Fed to act sooner than intended to avoid disappointing the market and driving up​ stocks' volatility over the​ summer." ​Source: Jessica Menton and Nathan​ Allen, "U.S. Stocks Edge​ Lower, Extending​ Losses," Wall Street Journal​, June​ 12, 2019. Is avoiding volatility part of the​ Fed's dual​ mandate?

A maximum price control on cellular telephones (cellular telephones) A. A surplus of cellular telephones B. An increase in demand for cellular telephones C. A decrease in supply of cellular telephones D. An increase in quantity supplied and decrease in quantity demanded of cell telephones E. None of the above

When Argentina fixed the exchange rate of their peso to the U.S. dollar, one outcome was: Group of answer choices Argentinean central bankers effectively gave control of their domestic interest rate to the FOMC. Argentinean central bankers regained control of their domestic interest rate. Argentinean central bankers were finally able to focus their attention on domestic monetary policy. Argentineans began using the U.S. dollar for all of their transactions.

When amortizing the discount on bonds payable, the amount of interest expense reported on the income statement will always be less than cash paid for interest. True or false?

Consider the following scenarios.
a. Scenario one has two options available.
Option A: There is a 50% chance of winning $1,000 and a 50% chance of winning $0.
Option B: There is a 100% chance of receiving $500.
A risk-averse person (Click to select) will choose option A will choose option B will be indifferent between options A and B might choose option A or might choose option B .
b. Scenario two has two different options available.
Option C: There is a 40% chance of winning $90 and a 60% chance of winning $110.
Option D: There is a 100% chance of winning $90.
A risk-averse person (Click to select) will choose option C will choose option D will be indifferent between options C and D might choose option C or might choose option D .
c. Scenario three has two more options available.
Option E: There is a 50% chance of winning $0 and a 50% chance of winning $100.
Option F: There is a 50% chance of winning $20 and a 50% chance of winning $60.
A risk-averse person (Click to select) will choose option E will choose option F will be indifferent between options E and F might choose option E or might choose option F .

The following information is available for a company's utility cost for operating its machines over the last four months. Month Machine hours Utility cost January 940 $ 5,490 February 1,840 $ 6,980 March 2,480 $ 8,100 April 640 $ 3,900 Using the high-low method, the estimated variable cost per machine hour for utilities is:

As a result of recent downsizing at his firm, Dominic lost his job as an IT manager for a large telecommunications company. A true, self-confirmed computer nerd, Dominic knew that several of his past contacts often outsourced their computer problems. He decided it was a good time to test the waters and see if he could secure enough computer clients to be in business for himself. His success demonstrated that

Reform Traders current net operating income is $16,800 and its average operating assets are $90,000. The company's required rate of return is 15%. A new project being considered would require an investment of $28,000 and would generate annual net operating income of $3,100. What is the residual income of the new project

The rate established at the beginning of a period that uses estimated overhead and an allocation factor such as estimated direct labor, and that is used to assign overhead cost to jobs, is the: Multiple Choice Predetermined overhead rate. Overhead variance rate. Estimated labor cost rate. Chargeable overhead rate. Miscellaneous overhead rate.

Given the following information, calculate the debt coverage ratio for this investment. Potential gross income: $120,000, Vacancy rate: 9%, Net operating income: $57,900, Operating expenses: $51,300, Acquisition Price: $520,000, Debt service: $40,000.

Steps in the Accounting Cycle Listed below, out of order, are the steps in an accounting cycle.
1. Prepare the unadjusted trial balance.
2. Post journal entries to general ledger accounts.
3. Analyze transactions from source documents.
4. Journalize and post adjusting entries.
5. Prepare the financial statements.
6. Record transactions in a journal.
7. Prepare the post-closing trial balance.
8. Prepare the adjusted trial balance.
9. Journalize and post closing entries.
(a) Place the numbers from the above list in the order in which the steps in the accounting cycle are performed.
3, 6, 2, 1, 4, 8, 5, 9, 7
2, 3, 6, 1, 4, 8, 5, 9, & 7
3, 6, 2, 1,4,8,5,7, & 9
6, 3, 2, 1, 4, 8, 5, 9, & 7
(b) identify the steps in the accounting cycle that occur daily.
1, 2, 3, & 6
2, 3, & 4
1, 2, 3, 4,&6
2, 3, & 6

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Hetrick Dentistry Services operates in a large metropolitan area. Currently, Hetrick has its own dental laboratory to produce porcelain and gold crowns. The unit costs to produce the crowns are as follows:

Porcelain Gold
Raw materials $70 $130
Direct labor 27 27
Variable overhead 8 8
Fixed overhead 22 22
Total $127 $187

Fixed overhead is detailed as follows:

Salary (supervisor) $26,000
Depreciation 5,000
Rent (lab facility) 32,000

Overhead is applied on the basis of direct labor hours. These rates were computed by using 5,500 direct labor hours. A local dental laboratory has offered to supply Hetrick all the crowns it needs. Its price is $125 for porcelain crowns and$150 for gold crowns; however, the offer is conditional on supplying both types of crowns—it will not supply just one
type for the price indicated. If the offer is accepted, the equipment used by Hetrick's laboratory would be scrapped (it i!
old and has no market value), and the lab facility would be closed. Hetrick uses 2,000 porcelain crowns and 600 gold crowns per year.

Required:
Conceptual Connection: Should Hetrick continue to make its own crowns, or should they be purchased from the external supplier?

With regard to social welfare, oligopolists forming a cooperative alliance is Group of answer choices good because it leads to less disagreement and lower prices and more variety. good because forming a cooperative alliance closely resembles a perfectly competitive outcome. bad because prices will then be too high and output will be too low. bad because output will then be too high and prices will be too high. Flag question: Question 11

what are the Computer Design problems and their solutions?​

Vextra Corporation is considering the purchase of new equipment costing $35,000. The projected annual cash inflow is $11,000, to be received at the end of each year. The machine has a useful life of 4 years and no salvage value. Vextra requires a 12% return on its investments. The present value of an annuity of $1 for different periods follows: Periods 12% 1 0.8929 2 1.6901 3 2.4018 4 3.0373 Compute the net present value of this investment.

Your firm needs a computerized machine tool lathe which costs $51,000 and requires $12,100 in maintenance for each year of its 3-year life. After three years, this machine will be replaced. The machine falls into the MACRS 3-year class life category. Assume a tax rate of 34 percent and a discount rate of 11 percent. If the lathe can be sold for $5,100 at the end of year 3, what is the after-tax salvage value

Maxim manufactures a hamster food product called Green Health. Maxim currently has 11,500 bags of Green Health on hand. The variable production costs per bag are $2.10 and total fixed costs are $13,000. The hamster food can be sold as it is for $10.00 per bag or be processed further into Premium Green and Green Deluxe at an additional cost. The additional processing will yield 11,500 bags of Premium Green and 3,300 bags of Green Deluxe, which can be sold for $9 and $7 per bag, respectively. Assuming Maxim further processes Green Health further into Premium Green and Green Deluxe, revenue from the two products would be:

TaskMaster Enterprises employs a standard cost system in which direct materials inventory is carried at standard cost. TaskMaster has established the following standards for the prime costs of one unit of product. Standard Standard Standard Quantity Price Cost Direct Materials 9 pounds $ 1.80 per pound $ 16.20 Direct Labor 0.25 hour $ 7.20 per hour 1.80 $ 18.00 During November, TaskMaster purchased 198,000 pounds of direct materials at a total cost of $376,200. The total factory wages for November were $46,000, 90% of which were for direct labor. TaskMaster manufactured 21,000 units of product during November using 170,000 pounds of direct materials and 6,000 direct labor hours. What is the direct labor efficiency variance for November

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A good example of backward vertical integration is a: A. global public accounting firm acquiring a small local or regional public accounting firm. B. hospital opening up a nursing home for the aged. C. large supermarket chain getting into convenience food stores. D. railroad company acquiring a trucking company specializing in long-haul freight. E. crude oil refinery purchasing a firm engaged in drilling and exploring for oil.

Marian Corporation has two separate divisions that operate as profit centers. The following information is available for the most recent year: Black Division Navy Division Sales (net) $ 1,000,000 $ 370,000 Salary expense 25,000 45,000 Cost of goods sold 120,000 156,000 The Black Division occupies 18,000 square feet in the plant. The Navy Division occupies 27,000 square feet. Rent is an indirect expense and is allocated based on square footage. Rent expense for the year was $45,000. Compute departmental income for the Black and Navy Divisions, respectively. (Do not round your intermediate computations)

Kierofree Air Tours has the following payroll data for its November 5 pay date:
Nov 5 Wages and salaries expense 522 $199,023.00
Federal withholding tax payable 220 $33,833.91
Social Security tax payable 221 11,442.35
Medicare tax payable 222 2,676.03
401(k) contributions payable 223 6,965.81
Health Insurance payable 224 14,468.97
Union Dues payable 227 4,975.58
Wages and salaries payable 226 ???
How much is the net pay?
a) $199,023.00
b) $185,216.26
c) $142,578.94
d) $124,660.35

On the statement of cash flows prepared by the indirect method, a $50,000 gain on the sale of investments would be: Group of answer choices added to dividends declared in converting the dividends declared to the cash flows from financing activities related to dividends. added to net income in converting the net income reported on the income statement to cash flows from operating activities. deducted from net income in converting the net income reported on the income statement to cash flows from operating activities. deducted from dividends declared in converting the dividends declared to the cash flows from financing activities related to dividends.

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What is one of the best known functions of The Consumer Product Safety Commission?
O product recalls
O identity theft damage repair
O food safety
Ofree credit reports

Wilson, an employee in a private-sector bank, has been suspected of stealing company funds and subsequently threatening and harassing some of his coworkers who refused to participate in his plans. Wilson, however, completely denies the accusations and maintains that he is innocent. Because of the lack of strong evidence, the ethics committee of the company decides to administer a polygraph test to Wilson. To ensure compliance with the rules of the Employee Polygraph Protection Act, which of the following should the committee do while conducting the test?
a. It should not inform Wilson or get his permission prior to conducting the test.
b. It should not allow Wilson to stop the test at any time depending on his personal will.
c. It should decide if Wilson is to be terminated or retained solely based on the results.
d. It should only use licensed, bonded examiners to conduct the test.

Your financial investments consist of U.S. government bonds maturing in twenty years and shares in a start-up internet company. If interest rates on newly-issued government bonds increase, then the price of your bonds will _____ and the price of the shares you own will _____.

Swifty Company has recorded the following items in its financial records. Cash in bank $47,300 Cash in plant expansion fund 102,000 Cash on hand 13,700 Highly liquid investments 36,000 Petty cash 530 Receivables from customers 96,600 Stock investments 63,500 The highly liquid investments had maturities of 3 months or less when they were purchased. The stock investments will be sold in the next 6 to 12 months. The plant expansion project will begin in 3 years. (a) What amount should Swifty report as "Cash and cash equivalents" on its balance sheet?

Neumann Corporation issues convertible preferred stock that is mandatorily redeemable five years from the date of issuance. During the last two years that the preferred shares are outstanding, investors may convert each one share of preferred stock to two shares of common stock. Prior to conversion or redemption, the preferred shares should be classified on the balance sheet as: