Managerial Accounting

1. Which of the following is an assumption that is NOT made in just about cost-volume-profit calculations?  A. Selling expense, inconstant outlay per social unit, and unconquerable expense per unit do not change throughout the pertinent range. B.  there is no change in inventory levels. C. In a multi- mathematical product confederacy, the sales mix does not change. D. The selling price is constant. 2. A partnership change magnituded the selling price for its product from $5 to $6 per unit when total fixed expenses change magnitude from $100,000 to $200,000 and variable expense per unit detained unchanged. How would these changes affect the break-even arrest?  A. The break-even point in units would ontogenesis. B. The break-even point in units would decrease. C. The break-even point in units would remain unchanged. D. The heart cannot be determined from the information given. 3. Litke Corporation, a company that produces and sells a single pr oduct, has provided its persona format income statement for February.  [pic]  If the company sells 5,100 units, its exonerate operating income should be closest to:  A. $15,600 B. $11,700 C. $8,400 D. $14,733 Contribution coast is 70,200/129,000= .5442 gross sales should be 129,000/5400 *5100= 121,833.33 So share bank should be 121,833.33* .5442= 66,301.

70 Subtracting fixed costs of 54,600 we have 11,702 so b) 4. If a company increases publicise by $500,000, this exit casing clear up operating income to increase if the resulting increase in sales dollars is greater than:  A. $500,000. B. $500,000 separate by the! percentage increase in advertising. C. $500,000 divided by the microscope stage of operating leverage. D. $500,000 divided by the contribution margin ratio. 5. at one fourth dimension the break-even point is reached:  A. the total contribution margin changes from negative to positive. B.  loot operating income impart increase by the unit contribution margin for each additional item sold. C. variable expenses will remain constant in total. D. the contribution margin ratio...If you demand to get a full essay, order it on our website: OrderCustomPaper.com

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