Answer:
C. Businesses create goods for product markets to sell.
Explanation:
Answer:
- An ordinary annuity of equal time earns less interest than an annuity due.
- When equal payments are made at the end of each period for a certain time period, they are treated as ordinary annuities.
- A perpetuity is a series of equal payments made at fixed intervals that continue infinitely and can be thought of as an infinite annuity.
Explanation:
With an Annuity due, the payments are made at the beginning of the period as opposed to an ordinary annuity which is paid at the end. This difference gives the Annuity due more time to accrue interest which leads it to earning more interest than an ordinary annuity of the same time.
As earlier mentioned, Ordinary annuities involve payments made at the end of each period. Annuities are always equal payments so the second statement holds true.
A Perpetuity is indeed an annuity because of the fixed payments characteristic that it has. It is therefore called a Perpetual/ Infinite Annuity.
Answer and Explanation:
The computation is shown below:
Total material variance = Actual quantity × Actual rate - Standard quantity × Standard rate
= 29000 × $6.3 - (16,000 units × 2) × $6
= $182,700 - $192,000
= - $9,300 favorable
Material price variance = Actual quantity × Actual price - Actual quantity × Standard price
= (29,000 units × $6.3) - (29,000 units × $6)
= $182,700 - $174,000
= $8,700 unfavorable
Material quantity variance = Standard quantity × Actual quantity - Standard rate × Standard quantity
= $6 × 29,000 units - $6 × (16,000 units × 2)
= $174,000 - $192,000
= -$18,000 favorable
The favorable is when the standard cost is more than the actual one while the unfavorable is when the standard cost is less than the actual one
