A company is considering an iron ore extraction project that requires an initial investment of $512,000 and will yield annual cash inflows of $156,000 for four years. The company's discount rate is 9%. What is the NPV of theproject?

Present value of an ordinary annuity of $1:

	8%	9%	10%
1	0.926	0.917	0.909
2	1.783	1.759	1.736
3	2.577	2.531	2.487
4	3.312	3.24	3.17
5	3.993	3.89	3.791
6	4.623	4.486	4.355
7	5.206	5.033	4.868
8	5.747	5.535	5.335
9	6.247	5.995	5.759
10	6.71	6.418	6.145

A.

$6,560

B.

$102,400

C.

$(6,560)

D.

$(102,400)

Austin Brands Company uses standard costs for its manufacturing division. Standards specify 0.1 direct labor hours per unit of product. At the beginning of the year, the static budget for variable overhead costs included the following data:

Production volume	6,300 units
Budgeted variable overhead costs	$15,000
Budgeted direct labor hours	630 hours

At the end of the year, actual data were as follows:

Production volume	4,200 units
Actual variable overhead costs	$15,000
Actual direct labor hours	480 hours

What is the variable overhead cost variance? (Round any intermediate calculations to the nearest cent, and your final answer to the nearest dollar.)

A.

$15,000 F

B.

$15,000 U

C.

$4,687 F

D.

$3,571 U