6. Karim Darmati must pay a $6,750 furniture bill. A finance company will loan Karim $6,750 for 8 months at a 10.20% discount rate. The finance company told Karim that if
he wants to receive exactly $6,750, he must borrow more than $6,750.
M = Proceeds
1 - (D)(T)
a.
Calculate Karim's loan request. (Do not round intermediate
calculations. Round your final answer to the nearest cent.)
Loan request
$
b
Calculate the effective rate of interest. (Do not round intermediate
calculations. Round your final answer to the nearest hundredth
percent.)
Effective rate of
interest
%

Oerstman, inc. uses a standard costing system and develops its overhead rates from the current annual budget.the budget is based on an expected annual output of 120,000 units requiring 480,000 direct labor hours.(practical capacity is 500,000 hours)annual budgeted overhead costs total $772,800, of which $556,800 is fixed overhead.a total of 119,300 units, using 478,000 direct labor hours, were produced during the year.actual variable overhead costs for the year were $260,400 and actual fixed overhead costs were $555,450.required: 1. compute the fixed overhead spending variance and indicate if favorable or unfavorable.2. compute the fixed overhead volume variance and indicate if favorable or unfavorable.