The Facts Are the Same as Above, but You Are

question 23

Essay

The facts are the same as above, but you are to assume that the bank discovered the forgery before returning the check to Apple and therefore credited his account. Can the bank in turn collect from Dubious the $1,500 paid to Dubious?

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Definitions:

May

The fifth month of the year in the Gregorian calendar.

Labor Efficiency Variance

The difference between the actual labor hours used in production and the standard hours expected, multiplied by the standard labor rate.

Labor Rate Variance

The difference between the actual hourly wage paid to workers and the standard or expected wage rate, multiplied by the total hours worked.

Standard Amount

A benchmark or norm set for the quantity or cost of inputs in producing a specific product or in carrying out a process.