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Get Full Access to Calculus Volume 3 - 1 Edition - Chapter 2.5 - Problem 275
Get Full Access to Calculus Volume 3 - 1 Edition - Chapter 2.5 - Problem 275

× ISBN: 9781938168079 2033

## Solution for problem 275 Chapter 2.5

Calculus Volume 3 | 1st Edition

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Problem 275

Given point P(1, 2, 3) and vector n = i + j, find point Q on the x-axis such that $$\overrightarrow{P Q}$$ and n are orthogonal.

Text Transcription:

overrightarrow PQ

Step-by-Step Solution:
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Chapter 11: Flexible Budgeting and Analysis of Overhead Costs We use flexible budgets because static budgets don’t give enough information. Flexible Budgets  Central Concept o If you can tell me what your activity was for the period, I will tell you what your costs and revenue should have been.  Advantages: o Show revenues and expenses that should have occurred at the actual level of activity. o May be prepared for any activity level in the relevant range. o Reveal variances due to good cost control or lack of. o Improve performance evaluation.  There is no flex in the fixed costs, variable costs have a standard cost and changes by amount of hours. (Budgeted variable overhead cost per unit * Total Activity Units) + Budgeted fixed overhead cost Total Budgeted Overhead Cost  Flexible budget is prepared for the same activity level as actually achieved.  Spending Variance – results from paying more or less than expected for overhead items and from excessive usage of overhead items.  Efficiency Variance – a function of the selected cost driver – does not reflect overhead control.  Budget Variance – results from paying more or less than expected for fixed overhead items. Formulas: Variable Overhead Variances: AH = Actual Hours of Activity AR = Actual Variable Overhead Rate SVR = Standard

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