ided the following into Expected production Actual production Estimated overhead Actual overhead O $17.60 per hour O $13.33 per hour 50000 labor hours 66000 labor hours What is the overhead application rate if Swifty bases the rate on direct labor hours (rounded to the nearest cent)? O $19.20 per hour O $14.55 per hour $880000 $960000

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A: Perpetuity: It is a stream of cash flow that is presumed to continue for an indefinite period.

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Variance Analysis

In layman's terms, variance analysis is an analysis of a difference between planned and actual behavior. Variance analysis is mainly used by the companies to maintain a control over a business. After analyzing differences, companies find the reasons for the variance so that the necessary steps should be taken to correct that variance. 

Standard Costing

The standard cost system is the expected cost per unit product manufactured and it helps in estimating the deviations and controlling them as well as fixing the selling price of the product. For example, it helps to plan the cost for the coming year on the various expenses.