ACC 350 Week 4 Quiz 3 (Cost Accounting, 15e (Hornger/Datar/Rajan)
Chapter 3, Cost-Volume Profit Analysis (215 Questions and Answers)
- Managers use cost-volume-profit (CVP) analysis to ________.
- One of the first steps to take when using CVP analysis to help make decisions is ________.
- Which of the following is true of cost-volume-profit analysis?
- The selling price per unit less the variable cost per unit is the ________.
- In the graph method of CVP analysis, the total revenues line always begins from the x-axis and the total costs line begins from the fixed cost line.
- Which of the following is an assumption of CVP analysis?
- Which of the following is true of CVP analysis?
- A revenue driver is defined as ________.
- As per CVP, operating income calculations use ________.
- Which of the following is true about the assumptions underlying basic CVP analysis?
- The contribution margin income statement ________.
- Contribution margin equals ________.
- Contribution margin per unit is ________.
- Calculate the variable cost per unit.
- Contribution margin per software is ________.
- If sales increase by $60,000, operating income will increase by ________.
- Pacific Company sells only one product for $11 per unit, variable production costs are $3 per unit, and selling and administrative costs are $1.50 per unit. Fixed costs for 10,000 units are $5,000. The operating income is ________.
- The contribution income statement highlights ________.
- Fixed costs equal $15,000, unit contribution margin equals $25, and the number of units sold equal 1,150. Operating income is ________.
- The contribution margin per unit is ________.
- If direct labor and direct material costs increase by $1 each, contribution margin ________…………..(Continued 70 Pages)