Unit 3 Quiz

1. Which of the following is not a cost classification? (Points 2) Mixed Multiple Variable unyielding 2. Which of the following is not a frosty cost? (Points 2) Direct materials Depreciation Lease charge airplane propeller taxes 3. At the break-even point of 2,500 units, variable cost are $55,000, and fixed costs are $32,000. How more than is the sell toll per unit? (Points 2) $34. 80 $9. 20 $12. 80 $22. 00 4. The relevant range of activity refers to the (Points 2) geographical areas where the federation plans to operate. activity level where altogether costs are curvilinear. levels of activity over which the company expects to operate. evel of activity where all costs are constant. 5. A CVP graph does not include a (Points 2) variable cost line. fixed cost line. gross revenue line. total cost line. 6. Which one of the following is not an assumption of CVP analysis? (Points 2) any units produced are sold. All costs are variable costs. Sales mix remains constant. The b ehavior of costs and revenues are linear within the relevant range. 7. Variable costs for Foley, Inc. are 25% of sales. Its selling damage is $80 per unit. If Foley sells one unit more than break-even units, how more will profit increase? (Points 2) $60. 00 $20. 00 $26. 66 $320. 00 8.Tiny Tots Toys has literal sales of $400,000 and a break-even point of $260,000. How much is its boundary line of safety ratio? (Points 2) 35% 65% 154% 53. 8% 9. The following monthly data are available for Wackadoos, Inc. which produces only one carrefour Selling price per unit, $42 Unit variable expenses, $14 Total fixed expenses, $42,000 Actual sales for the month of June, 4,000 units. How much is the margin of safety for the company for June? (Points 2) $70,000 $105,000 $63,000 $2,500 10. Hess, Inc. sells a crossing with a contribution margin of $12 per unit, fixed costs of $74,400, and sales for the current year of $100,000.How much is Hesss break-even point? (Points 2) 4,600 units $25,60 0 6,200 units 2,133 units Time Remaining 43. Hess, Inc. sells a product with a contribution margin of $12 per unit, fixed costs of $74,400, and sales for the current year of $100,000. How much is Hesss break-even point? (Points 4) 4,600 units $25,600 6,200 units 2,133 units BEP = $74,400/$12 = 6,200 units 46. The following monthly data are available for Wackadoos, Inc. which produces only one product Selling price per unit, $42 Unit variable expenses, $14 Total fixed expenses, $42,000 Actual sales for the month of June, 4,000 units.How much is the margin of safety for the company for June? (Points 4) $70,000 $105,000 $63,000 $2,500 UCM = $42 $14 = $28 BEP = $42,000 / $28 = 1,500 units BEP $ = 1,500 ? $42 = $63,000 Expected Sales $ = $42 ? 4,000 = $168,000 MOS = $105,000 41. Tiny Tots Toys has actual sales of $400,000 and a break-even point of $260,000. How much is its margin of safety ratio? (Points 4) 35% 65% 154% 53. 8% Margin of Safety = $400,000 $260,000 = $140,000 Margin of S afety proportion = $140,000/$400,000 = 35%