Dermody Snow Removal's cost formula for its vehicle operating cost is $2,850 per month plus $317 per snow-day. For the month of December, the company planned for activity of 16 snow-days, but the actual level of activity was 14 snow-days. The actual vehicle operating cost for the month was $7,640. The spending variance for vehicle operating cost in December would be closest to:
A. $282 F
B. $352 U
C. $282 U
D. $352 F
Answer: B
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A domestic content requirement placed on automobiles would tend to result in
a. rising production costs of autos. b. decreasing prices of autos. c. higher levels of consumer surplus. d. higher levels of auto imports.
Which one of the following is not a division of the SEC?
A. The Division of Compliance Information. B. The Division of Investment Management. C. The Division of Trading and Markets. D. The Division of Enforcement. E. The Division of Corporation Finance.
Currently the cost structure is such that the company cannot achieve its profit objective and must cut costs. If fixed costs cannot be reduced, how much reduction in variable cost per unit will be needed to achieve the desired target? (Round your answer to the nearest cent.)
Kerr Productions is a price-taker. The company produces large spools of electrical wire in a highly competitive market; thus, it uses target pricing. The current market price is $800 per unit. The company has $3,000,000 in average assets, and the desired profit is a return of 7% on assets. Assume all products produced are sold. The company provides the following information:
A) reduction in variable cost per unit by $725.00
B) reduction in variable cost per unit by $75.00
C) reduction in variable cost per unit by $45.00
D) reduction in variable cost per unit by $47.10
Which of the following correctly calculates the early finish for an activity?
A. LF + SL B. LF + DUR C. LS + DUR D. ES + SL E. ES + DUR