Question 1:
False - Fixed costs will not change with changes in volume of activity
Question 2:
True - Per unit fixed cost decreases, when there is an increase in activity
Question 3:
False - fixed costs may not be revalued
ter 5 Exam Question 1 Total fixed costs change with changes in volume of activity. True...
1. Total fixed costs change as the level of activity changes. true or false? 2. Variable costs are costs that remain constant on a per-unit basis as the level of activity changes. true or false? 3. Variable costs as a percentage of sales are equal to 100% minus the contribution margin ratio. true or false 4. The data required for determining the break-even point for a business are the total estimated fixed costs for a period stated as a percentage...
Total variable costs change in proportion to changes in the volume of activity. True or False
11) True or False: As activity decreases within the relevant range, fixed costs remain constant on a per unit basis. 13) True or False: Within the relevant range, a change in activity results in a change in variable cost per unit and total fixed cost.
2. Total fixed costs regardless of changes in activity level (within a relevant range) Fixed costs per unit in proportion to changes in activity level.
QUESTION 2 The following are types of costs that react to changes in activity except: A. Fixed B. Step C. Unexpired D. Mixed QUESTION 3 Which of the following is true about Variable Cost: A. The variable total cost remains constant throughout the relevant range. B. The variable unit cost is varies through the relevant range. C. The variable unit cost varies inversely with changes in the activity the relevant range. D. The variable unit cost is constant through...
Fixed Factory and Variable Factory Overhead Cost : A. True or False / Fixed factory overhead changes in total over the relevant range, based on production. B.True or False / Fixed factory overhead per unit does not change over the relevant range. C. True or False / Variable factory overhead does change in total over the relevant range. D. True or False / Activity based costing is used to allocate overhead cost pools based on single basis such as direct labor hours or machine...
1. As the total volume of activity changes: a. the total of variable costs stays the same. b. the total of fixed costs changes. c. variable costs per unit change. d. fixed costs per unit change. 2. ABC Company's sales are $100,000, fixed costs are $50,000, and variable costs are $30,000. ABC Company's contribution margin and operating income are __________ and __________ respectively. a. $50,000; $20,000 b. $20,000; $70,000 c. $70,000; $50,000 d. $70,000; $20,000 3. Managerial accounting, as compared...
q1. Variable costs change in direct proportion to a change in the activity level. true or false q2. The relevant range is that range of activity where a company achieves its maximum efficiency. true or false
able/fixed costs to changes in activity? What is the 7. What is the reaction of total variable is to changes in activity W .. reaction of unit variable/fixed costs to changes in activity? brus. 2009.MDO - Variable cost F ixed Cost S Total Total mu នា , # of Units nozivib 10 bolo por Units # of Units Units no # of Units Within the # of Units relevant range 8. What are the differences between manufacturing and merchandising comp...
Question 1 Fixed cost per unit continuously declines as production increases (within the relevant range). This is called economies of scale. True False Question 2 The coefficient of determination or R squared, in regression analysis, should be less than 0.75 to indicate a strong cost equation. True False Question 3 ABC Co. has fixed costs of $85,000. ABC wants to achieve an after-tax profit of $10,000. The selling price per unit is $100, and the variable cost per unit is...