An activity index identifies the activity that has actually a causal partnership via a details expense.A. TrueB. False
The pertinent variety isA. the range over which the firm expects to operate during a year.B. generally from zero to 100% of operating capacity.C. the variety of activity in which fixed expenses will be curvilinear.D. the range of task in which variable expenses will certainly be curvistraight.

You are watching: Which of the following would not be an acceptable way to express contribution margin?


Within the appropriate variety, the variable price per unitA. decreases as production boosts.B. increases as production boosts.C. remains consistent at each task level.D. differs at each task level.
Which of the adhering to is not true about the graph of a combined cost?A. Tbelow is a complete price line on the graph.B. The resolved cost portion of the graph is the exact same amount at all levels of activity.C. The variable price percentage of the graph is rectangular in shape.D. It is possible to determine the amount of the resolved price from the graph.
For analysis purposes, the high-low strategy normally produces a (n) A. reasonable estimate.B. exact estimate.C. underdeclared estimate.D. overdeclared estimate.
Which of the complying with is not an underlying assumption of CVP analysis?A. Beginning inventory is bigger than ending inventory.B. Sales mix is consistent.C. Cost classifications are fairly specific.D. Changes in activity are the only components that influence costs.
Which of the adhering to would not be an acceptable method to expush contribution margin? A. Sales minus variable costsB. Sales minus unit costsC. Contribution margin per unit separated by unit offering priceD. Unit selling price minus unit variable costs
Select the correct statement concerning the cost-volume-profit graph below: A. Line E is the full expense line.B. At suggest B, revenues equal total expenses.C. The suggest established by "B" is the break-even point.D. Line F is the variable price line.
Bergguy Company has actually full resolved prices of $350,000 and a contribution margin ratio of 20%. Bergman"s targain net income is $250,000. Sales in dollars to satisfy the target net income would certainly beA. $600,000.B. $3,000,000.C. $1,250,000.D. $1,750,000.
B. $3,000,000.Sales in dollars to satisfy the $250,000 targain net revenue would certainly be $3,000,000 = ($350,000 + $250,000) / .20 ("Tarobtain Net Income").

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The amount whereby actual or expected sales exceeds break-even sales is described asA. contribution margin.B. unanticipated profit.C. margin of safety and security.D. taracquire net earnings.
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