Bramble Inc. is comparing several alternative capital budgeting projects as shown below:

	Projects
	A	B	C
Initial investment	$86000	$126000	$166000
Present value of net cash flows	96000	116000	206000

Using the profitability index, how many of the projects are acceptable?

0

2

3

1

The predetermined overhead rate for Sheridan Company is $5, comprised of a variable overhead rate of $3 and a fixed rate of $2. The amount of budgeted overhead costs at normal capacity of $150000 was divided by normal capacity of 30000 direct labor hours, to arrive at the predetermined overhead rate of $5. Actual overhead for June was $8242 variable and $5226 fixed, and standard hours allowed for the product produced in June was 2600 hours. The total overhead variance is

$2626 U.

$468 F.

$468 U.

$2626 F.