Wangerin Corporation Applies Overhead to Products Based on Machine-Hours

question 124

Essay

Wangerin Corporation applies overhead to products based on machine-hours.The denominator level of activity is 6,900 machine-hours.The budgeted fixed manufacturing overhead costs are $240,810.In April, the actual fixed manufacturing overhead costs were $245,640 and the standard machine-hours allowed for the actual output were 7,200 machine-hours.
Required:
a.Compute the budget variance for April.Show your work!
b.Compute the volume variance for April.Show your work!

Critique various theories related to globalization and its alternatives, including neoliberal globalization.

Understand the basic principles of capital cost allowance (CCA) and its effects on business tax calculations.

Apply cash flow analysis for project valuation including operating cash flows.

Evaluate the impact of depreciation methods on project cash flows and net present value (NPV).

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Definitions:

Marginal Rate Of Substitution

The rate at which a consumer can give up some amount of one good in exchange for another good while maintaining the same level of utility.

North American Free Trade Agreement

A trade agreement among the United States, Canada, and Mexico to reduce trade barriers and promote economic exchange.

Efficient Equilibrium

A state of balance in a market where resources are allocated in the most efficient way possible, with no room for welfare improvement without making someone else worse off.

Relative Price

The price of one good or service compared to another, usually indicating how much of one can be exchanged for the other.