1) Recher Corporation's common stock has a par value of $3 per share and has been stable at a total value of $270,000 on the company's balance sheet for several years. The total stockholders' equity at the end of this year was $1,023,000 and at the beginning of the year was $1,010,000. Net income for the year was $17,500. Dividends on common stock during the year totaled $4,500. The market price of common stock at the end of the year was $3.76 per share. The company's price-earnings ratio is closest to:

a) 19.79

b) 0.51

c) 8.36

d) 12.53

Can you please show the formula and calculation for this one. No calculators are allowed.

2) Biery Corporation makes a product with the following standard costs:

Standard for Direct Labor Hours = 0.6

Standard for Direct Labor Rate = $19.00/hour

The company produced 4,100 units in April using 5,380 liters of direct material and 2,610 direct labor-hours. During the month, the company purchased 6,000 liters of the direct material at $5.80 per liter. The actual direct labor rate was $19.80 per hour and the actual variable overhead rate was $2.90 per hour. The company applies variable overhead on the basis of direct labor-hours. The direct materials purchases variance is computed when the materials are purchased. The labor efficiency variance for April is:

a) $2,850 F

b) $2,850 U

c) $2,970 F

d) $2,970 U

Please show calculation. No calculators allowed.