1) which of the following is a variable cost?

1) Which of the following is a variable cost?

 

A) property taxes

B) salary of plant manager

C) direct materials cost

D) straight-line depreciation expense

 

2) Variable cost per unit, within the relevant range, will ________.

 

A) increase as production decreases

B) decrease as production decreases

C) remain the same as production levels change

D) decrease as production increases

 

3) Which of the following statements is true of the behavior of total variable costs, within the relevant range?

 

A) They will decrease as production increases.

B) They will remain the same as production levels change.

C) They will decrease as production decreases.

D) They will increase as production decreases.

 

4) Which of the following statements is true of the behavior of total fixed costs, within the relevant range?

 

A) They will remain the same as production levels change.

B) They will increase as production decreases.

C) They will decrease as production decreases.

D) They will decrease as production increases.

 

5) The fixed costs per unit will ________.

 

A) increase as production decreases

B) decrease as production decreases

C) remain the same as production levels change

D) increase as production increases

 

6) The dollar amount that provides for covering fixed costs and then provides for operating income is called ________.

 

A) variable cost

B) total cost

C) contribution margin

D) margin of safety

 

7) Contribution margin ratio is the ratio of contribution margin to ________.

 

A) net sales revenue

B) cost of goods sold

C) total variable costs

D) total fixed costs

 

8) One of the assumptions of cost-volume-profit (CVP) analysis is that there are no changes in the ________.

 

A) accounts payable

B) cash balance

C) inventory levels

D) accounts receivables

 

9) ________ is a “what if” technique that estimates profit or loss results if selling price, costs, volume, or underlying assumptions change.

 

A) High-low method of analysis

B) Sensitivity analysis

C) Contribution margin

D) Operating leverage

 

10) When the total fixed costs increases, the contribution margin per unit ________.

 

A) increases

B) decreases

C) increases proportionately

D) remains the same

 

11) Which of the following statements is true of the budgeting process?

 

A) It includes the qualitative targets of a company.

B) It is a continuous process that encourages communication.

C) It shows the actual performance of the business.

D) It leads to slack where managers understate expected expenses.

 

12) Which of the following is an example of the planning function of a budget?

 

A) A budget demands integrated input from different business units and functions.

B) Employees are motivated to achieve the goals set by the budget.

C) Budget figures are used to evaluate the performance of managers.

D) The budget outlines a specific course of action for the coming period.

 

13) Which of the following is an example of the coordination and communication function of a budget?

 

A) A budget demands integrated input from different business units and functions.

B) Employees are motivated to achieve the goals set by the budget.

C) Budget figures are used to evaluate the performance of managers.

D) The budget outlines a specific course of action for the coming period.

 

14) Which of the following is an example of the benchmarking function of a budget?

 

A) A budget demands integrated input from different business units and functions.

B) Budgeting requires close cooperation between accountants and operational personnel.

C) Budget figures are used to evaluate the performance of managers.

D) The budget outlines a specific course of action for the coming period.

 

15) An intentional understatement of expected revenues or overstatement of expected expenses by managers in order to have a favorable performance evaluation is known as ________.

 

A) benchmarking

B) appropriation

C) budgetary slack

D) variance analysis

 

16) The starting point in the budgeting process is the preparation of the ________.

 

A) cash budget

B) production budget

C) sales budget

D) budgeted income statement

 

17) While preparing the budgeted balance sheet of a merchandising company, the amount of merchandise inventory can be obtained from the ________.

 

A) merchandise inventory account

B) inventory, purchases, and cost of goods sold budget

C) production budget.

D) capital expenditure budget and cash budget

 

18) While preparing the budgeted income statement of a merchandising company, the amount of cost of goods sold can be taken from the ________.

 

A) budgeted balance sheet

B) budgeted cash flow statement

C) inventory, purchases, and COGS budget

D) capital expenditures budget.

 

19) Which of the following budgets focuses on the income statement and its supporting schedules?

 

A) the operating budget

B) the cash budget

C) the capital expenditures budget

D) the sales budget

 

20) The ________ details how the business expects to go from the beginning cash balance to the desired ending cash balance.

 

A) capital expenditures budget

B) budgeted income statement

C) cash flow statement

D) cash budget

 

Order a unique copy of this paper
(550 words)

Approximate price: $22

Basic features
  • Free title page and bibliography
  • Unlimited revisions
  • Plagiarism-free guarantee
  • Money-back guarantee
  • 24/7 support
On-demand options
  • Writer’s samples
  • Part-by-part delivery
  • Overnight delivery
  • Copies of used sources
  • Expert Proofreading
Paper format
  • 275 words per page
  • 12 pt Arial/Times New Roman
  • Double line spacing
  • Any citation style (APA, MLA, Chicago/Turabian, Harvard)

Our guarantees

We value our customers and so we ensure that what we do is 100% original..
With us you are guaranteed of quality work done by our qualified experts.Your information and everything that you do with us is kept completely confidential.

Money-back guarantee

You have to be 100% sure of the quality of your product to give a money-back guarantee. This describes us perfectly. Make sure that this guarantee is totally transparent.

Read more

Zero-plagiarism guarantee

The Product ordered is guaranteed to be original. Orders are checked by the most advanced anti-plagiarism software in the market to assure that the Product is 100% original. The Company has a zero tolerance policy for plagiarism.

Read more

Free-revision policy

The Free Revision policy is a courtesy service that the Company provides to help ensure Customer’s total satisfaction with the completed Order. To receive free revision the Company requires that the Customer provide the request within fourteen (14) days from the first completion date and within a period of thirty (30) days for dissertations.

Read more

Privacy policy

The Company is committed to protect the privacy of the Customer and it will never resell or share any of Customer’s personal information, including credit card data, with any third party. All the online transactions are processed through the secure and reliable online payment systems.

Read more

Fair-cooperation guarantee

By placing an order with us, you agree to the service we provide. We will endear to do all that it takes to deliver a comprehensive paper as per your requirements. We also count on your cooperation to ensure that we deliver on this mandate.

Read more

Calculate the price of your order

550 words
We'll send you the first draft for approval by September 11, 2018 at 10:52 AM
Total price:
$26
The price is based on these factors:
Academic level
Number of pages
Urgency