Salvador Company Has Developed Capacity Standards The Unused Capacity Variance Is
A)There Is No Variance

question 89

Multiple Choice

Salvador Company has developed capacity standards. Information is as follows for a value-added activity: $$\begin{array} { l r } \text { Activity capacity acquired } & 60 \\\text { Activity capacity used } & 50 \\\text { Actual activity usage } & 30 \\\text { Standard fixed activity rate } & \$ 2,000\end{array}$$ The unused capacity variance is

• A)There is no variance.
• B)$60,000 favorable.
• C)$40,000 favorable.
• D)$20,000 favorable.

Distinguish between different types of damages in tort law (nominal, compensatory, punitive).

Understand privacy torts and their exceptions.

Identify torts against economic interests and their implications.

Recognize defenses against liability in specific tort cases.

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Definitions:

Cash Flows

The movement of money into and out of a business, indicating the company's ability to generate cash from operations, investments, and financing activities.

Operating Activities

Day-to-day actions that a company takes in conducting its business, such as selling products, managing costs, and paying wages.

Net Income

The total profit or loss of a company after all revenues and expenses have been accounted for, also known as net earnings.

Indirect Method

A method for preparing the cash flow statement where net income is adjusted for non-cash transactions and changes in working capital to calculate net cash from operating activities.