1. Marley Company The following July information is for Marley Company: Standards: Material:3.0 feet per unit @ $4.20 per foot Labor:2.5 hours per unit @ $7.50 per hour Actual: Production:2,750 units produced during the month Material:8,700 feet used; 9,000 feet purchased @ $4.50 per foot Labor:7,000 direct labor hours @ $7.90 per hour (Round all answers to the nearest peso) Refer to Marley Company. What is the material price variance (calculated at point of purchase)?

2,700 U

2,700 F

2,610 F

2,610 U

2. FERAL IMP CORP. is a multi-product company that currently manufactures 30,000 units of Part QS42 each month for use in production. The facilities now being used to produce Part QS42 have fixed monthly cost of P150,000 and a capacity to produce 84,000 units per month. If FERAL IMP were to buy Part QS42 from an outside supplier, the facilities would be idle, but its fixed costs would continue at 40% of their present amount. The variable production costs of Part QS42 are P11 per unit. If FERAL IMP is able to obtain Part QS42 from an outside supplier at a unit purchase price of P12.875, the monthly usage at which it will be indifferent between purchasing and making Part QS42 is

30,000 units.

48,000 units

32,000 units.

80,000 units

None of the above

3. For the month of December, a company predicts total cash collections to be P500,000. It estimates that its beginning balance will be P20,000 and that it will borrow cash in the amount of P50,000 in December also. If the company estimates an ending cash balance of P25,000 for December, what is its projected disbursement to be?

P545,000

P550,000

P570,000

P595,000

None of the above