The finalization of a real estate sales transaction that passes title to the property from the seller to

Machine Builders Inc. adopted a standard cost system several years ago that it uses in conjunction with its process cost system. The per-unit standard costs for direct materials and direct labor for its single product are as follows:

Materials:(4.0 kilograms × $10.00 per kilogram)$40.00 Labor:(4.0 hours × $18.00 per hour)$72.00 All materials are issued at the beginning of processing. The operating data shown below were taken from the records for July: In-process beginning inventory none In-process ending inventory—90% complete as to labor 1,000unitsUnits completed during the month 7,200unitsBudgeted output 8,000unitsPurchases of materials, in kilograms (AQ) 30,000 Total actual labor costs incurred$525,000 Direct labor hours worked (AQ) 28,000hoursMaterials purchase-price variance$3,000unfavorableIncrease in materials inventory in July 1,500kilogramsBeginning inventory of materials 0kg. The sales volume variance, measured in terms of direct labor cost, for July (to the nearest dollar) was:

Five years ago, Frater Zahn's Company invested 38 million (30 million in fixed capital and another 8 million in working capital) in a bakery. Today, Frater Zahn's is selling the fixed assets for 21 million and liquidating the investment in working capital. The book value of the fixed assets is 15 million and the marginal tax rate is 40%. The fifth year's after tax nonoperating cash flow to Frater Zahn's is closest to:

a. 20.6 million b. 23.0 million c. 26.6 million