Explain whether each of the following losses would be covered under Section II in the homeowners policy. If the loss is not covered, explain how coverage can be obtained. a. The insured owns a restaurant in a large city. The insured is sued by several customers who allege they became seriously ill from a contaminated banana cream pie served at the restaurant. While operating a 30-foot sailboat, the insured injures a swimmer.
b. The named insured is sued by his ex-wife, who alleges her reputation has been ruined because the insured lied about her relationship with another man.
c. A neighbor’s child falls off a swing in the named insured’s yard and breaks his arm.

Doogan corporation makes a product with the following standard costs: standard quantity or hours standard price or rate direct materials 2.0 grams $ 7.00 per gram direct labor 1.6 hours $ 12.00 per hour variable overhead 1.6 hours $ 6.00 per hour the company produced 5,000 units in january using 10,340 grams of direct material and 2,320 direct labor-hours. during the month, the company purchased 10,910 grams of the direct material at $7.30 per gram. the actual direct labor rate was $12.85 per hour and the actual variable overhead rate was $5.80 per hour. the company applies variable overhead on the basis of direct labor-hours. the direct materials purchases variance is computed when the materials are purchased. the materials quantity variance for january is: