Answer: c. 78,000 equivalent units.
Explanation:
Equivalent units for conversion is calculated as:
= Units completed and transferred out + Equivalent ending work in process
Units completed and transferred out:
= Units started into production - Ending units
= 90,000 - 20,000
= 70,000 units
Equivalent ending work in process = 40% * 20,000 work in process units
= 8,000 units
Equivalent units for conversion = 70,000 + 8,000
= 78,000 units
Answer:
$1.60 per direct labor hour
Explanation:
Overhead application rate = Budgeted Overheads ÷ Budgeted Activity
hence,
Overhead application rate = $364,800 ÷ $228,000
= $1.60 per direct labor hour
Answer:
I have to identify the risk factors in the project and then gauge the willingness of the company to take such risks.
Explanation:
Risk tolerance is the willingness of an organization or an individual to take certain risks. The risk tolerance level of a person or organization can be classified as either high or low. For a project manager who wants to determine the risk tolerances associated with his project, he has to first identify the risk factors, and then try to know the risk level and if indeed this level is acceptable within the organization's culture and standard.
The project manager would do well to plot a graph that would show the probability of a risky action happening or not. A risk tolerance line is now obtained from where the project manager can know if that risk is tolerable by organization standards. The extent of job security would also help in determining the amount of risk a manager can take. However, they are still expected to stay within the standards of the organization.
Answer:
True
Explanation:
Marginal - the dictionary meaning of such word is additional of anything. Here, in the given case, marginal analysis as per costing is the analysis of each additional revenue from each additional sale or production.
Marginal analysis does not consider fixed cost generally, as that is fixed and don not add on on additional units, within a standard range.
Thus, the statement stated here is True.
