18.

The following materials standards have been established for a particular product:

Standard quantity per unit of output	4.5	grams
Standard price	$12.00	per grams

The following data pertain to operations concerning the product for the last month:

Actual materials purchased	3,400	grams
Actual cost of materials purchased	$ 39,610
Actual materials used in production	2,700	grams
Actual output	530	units

The direct materials purchases variance is computed when the materials are purchased.

Materials price variance ________________________

Materials quantity variance______________________

19.

The following standards for variable overhead have been established for a company that makes only one product:

Standard hours per unit of output	6.5	hours
Standard variable overhead rate	$13.00	per hour

The following data pertain to operations for the last month:

Actual hours	9,800	hours
Actual total variable overhead cost	$125,200
Actual output	1,500	units

Required:

a.

What is the variable overhead rate variance for the month? (Input the amount as a positive value. Leave no cells blank - be certain to enter "0" wherever required. Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (i.e., zero variance.)

b.

What is the variable overhead efficiency variance for the month? (Input the amount as a positive value. Leave no cells blank - be certain to enter "0" wherever required. Indicate the effect of each variance by selecting "F" for favorable, "U" for unfavorable, and "None" for no effect (i.e., zero variance.)

Variable overhead rate_______________________

Variable overhead efficiency variance ________________

20.

Aguilera Industries is a division of a major corporation. Data concerning the most recent year appears below:

Sales	$17,580,000
Net operating income	$738,360
Average operating assets	$4,860,000

The division's margin is closest to: (Round your answer to 1 decimal place.)

15.2%

4.2%

16.4%

20.6%

21.

Aguilera Industries is a division of a major corporation. Data concerning the most recent year appears below:

Sales	$17,560,000
Net operating income	$1,071,160
Average operating assets	$4,300,000

The division's turnover is closest to: (Round your answer to 2 decimal places.)

16.39

4.08

0.25

4.01

22.

Aguilera Industries is a division of a major corporation. Data concerning the most recent year appears below:

Sales	$17,910,000
Net operating income	$1,199,970
Average operating assets	$4,250,000

The division's return on investment (ROI) is closest to:

6.70%

28.23%

24.38%

3.70%

25.

Chee Corporation has gathered the following data on a proposed investment project: (Ignore income taxes in this problem.)

Investment required in equipment	$460,000
Annual cash inflows	$77,000
Salvage value	$0
Life of the investment	16 years
Required rate of return	12%

The company uses straight-line depreciation. Assume cash flows occur uniformly throughout a year except for the initial investment.

The payback period for the investment is closest to:

0.2 years

1.0 years

4.0 years

6.0 years