Consider the flexible budget information relating to direct labor costs for Logan Ltd.:48,000 units 50,000 units 52,000 unitsMachiningFinishing$2.50 per unit$1.50 per unit$120,000$125,000$130,00072,00075,00078,000$192,000$200,000$208,000Logan's actual production was 51,000 units and the related cost was $205,500. What is the direct labor variance?

Answered: Image /qna-images/answer/7be68382-8a27-4f03-a416-17c094351404.jpg

Answered: Consider the flexible budget…

Managerial Economics: A Problem Solving Approach

5th Edition

ISBN:9781337106665

Author:Luke M. Froeb, Brian T. McCann, Michael R. Ward, Mike Shor

Publisher:Luke M. Froeb, Brian T. McCann, Michael R. Ward, Mike Shor

Chapter3: Benefits, Costs, And Decisions

Section: Chapter Questions

Problem 8MC

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Which costs are measured on per-unit basis: fixed costs, average cost, avenge variable cost, variable costs, and marginal cost?
Your boss is the director of reporting for the Athens County Construction Agency (ACCA). It has been his job to track the cost of construction in Athens County. Twentyfive years ago, he created the ACCA Cost Index to track those costs. Costs during the first year of the index were $14 per square foot of constructed space (the index value was set at 100 for that first year). This year a survey of contractors revealed that costs were $70 per square foot. (a) What index number will your boss publish in his report for this year? (b) If the index value was 500 last year, what was the cost per square foot last year?
2. The total design and construction cost for a digester to handle a flow rate of o.5 million gallons per day (MGD) was $1.7 million in 2o0o. Estimate the cost today fora flow rate of 2.0 MGD. The exponent for the MGD range of 0.2 to 40 is o.14. The cost index in 2000 of 131 has been updated to this year. 225 for
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TC 400+150Q-3Q2 +0.02Q3 400 Based on this equation, find total fixed cost calculate total fix cost -
When using the Top-down Cost Estimation Approach.. Note: This is a Multiple Answer question. Select all the following answers you think are correct. O required price is an output variable O None of the other options listed O required price is an input variable O cost estimates are an output variable « Previous
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