Pietro's pizza has established the following standards for making one pizza:
dough: 0.35 pounds at $3 per pound
labor: 0.2 hours at $10 per hour

actual sales volume for the past month was 15,000 units. actual dough and labor quantities and prices were as follows:
dough: 3,750 pounds (total) at $2.5 per pound
labor: 3,750 hours (total) at $12 per hour

required:
(enter favorable and unfavorable variances as positive and negative numbers, without for u)

(a) what are the input price and quantity variances for dough?

materials price variance =
materials quantity variance =

(b) what are the input price and quantity variances for labor?

labor rate variance =
labor efficiency variance =

10 points

You are chairman of the board of a successful technology firm. there is a nominal federal corporate tax rate of 35 percent, yet the effective tax rate of the typical corporation is about 12.6%. your firm has been clever with use of transfer pricing and keeping money abroad and has barely paid any taxes over the last 5 years; during this same time period, profits were $28 billion. one member of the board feels that it is un-american to use various accounting strategies in order to avoid paying taxes. others feel that these are legal loopholes and corporations have a fiduciary responsibility to minimize taxes. one board member quoted what the ceo of exxon once said: “i’m not a u.s. company and i don’t make decisions based on what’s good for the u.s.” what are the alternatives? what are your recommendations? why do you recommend this course of action?

Lin corporation has a single product whose selling price is $136 per unit and whose variable expense is $68 per unit. the company’s monthly fixed expense is $32,400. required: 1. calculate the unit sales needed to attain a target profit of $5,000. (do not round intermediate calculations.) 2. calculate the dollar sales needed to attain a target profit of $8,400.

The school cafeteria can make pizza for approximately $0.30 a slice. the cost of kitchen use and cafeteria staff runs about $200 per day. the pizza den nearby will deliver whole pizzas for $9.00 each. the cafeteria staff cuts the pizza into eight slices and serves them in the usual cafeteria line. with no cooking duties, the staff can be reduced by half, for a fixed cost of $75 per day. should the school cafeteria make or buy its pizzas?