ACC 561 Week 4 Practice Quiz (All correct)

Multiple Choice Question 39

A variable cost is a cost that



Multiple Choice Question 42

An increase in the level of activity will have the following effects on unit costs for variable and fixed costs:


Unit Variable Cost


Unit Fixed Cost




Multiple Choice Question 43

A fixed cost is a cost which








Multiple Choice Question 86

Hollis Industries produces flash drives for computers, which it sells for $20 each. Each flash drive costs $14 of variable costs to make. During April, 1,000 drives were sold. Fixed costs for March were $2 per unit for a total of $1,000 for the month. How much is the contribution margin ratio?


Multiple Choice Question 87

Contribution margin






Multiple Choice Question 100

The equation which reflects a CVP income statement is





Multiple Choice Question 104

A company sells a product which has a unit sales price of $5, unit variable cost of $3 and total fixed costs of $150,000. The number of units the company must sell to break even is







Multiple Choice Question 93

Only direct materials, direct labor, and variable manufacturing overhead costs are considered product costs when using




Multiple Choice Question 96

Under absorption costing and variable costing, how are fixed manufacturing costs treated?


Absorption


Variable






Multiple Choice Question 121

Management may be tempted to overproduce when using