CMA Study Group

Re Part 1 Section 3 - CSO: 1C1d LOS: 1C1k

  • 1.  Re Part 1 Section 3 - CSO: 1C1d LOS: 1C1k

    Posted 18 days ago
    Good morning All,
    The answer shows:
    "Actual hours: (X – 40) x $7 = -$14"
    and "Wage rate: (X - $7) x 38 = $19"
    How did we calculate the 40 and 38?

    Thanks

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    Mourad Messiha
    Markham ON
    Canada
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  • 2.  RE: Re Part 1 Section 3 - CSO: 1C1d LOS: 1C1k

    Posted 18 days ago
    Good Morning Mourad!

    In the problem, it says, 15 minutes each car and they serviced 160 cars that's why SQ is 40 (160x.25). .25 is 15mins/60mins.

    (AQ-40)X7=(14)
    7 AQ - 280 = (14)
    7 AQ = 266
    AQ = 38.

    Regards,



    ------------------------------
    RUFFY CAALIM
    Accountant
    DUBAI
    United Arab Emirates
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  • 3.  RE: Re Part 1 Section 3 - CSO: 1C1d LOS: 1C1k

    Posted 13 days ago
    Hi there,

    But why is the 14 favourable as a negative 14?
    The question states the variance is favourable.

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    Sanobar Anjum
    Academic
    Pickering ON
    Canada
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