Its contribution margin is 30%, and fixed costs are $180,000
71) Which of the following does not appear as a separate section on the cash budget? A. Financing B. Cash disbursements C. Cash receipts D. Capital expenditures
72) Beginning cash balance plus total receipts A. is the excess of available cash over disbursements. B. must equal total disbursements.
73) A _____ gives the expected sales under a given set of conditions. A. sales forecast B. sales budget C. sales prediction D. budget forecast
D. equals total available cash
74) At the break-even point of 2,000 units, variable costs are $55,000, and fixed costs are $32,000. How much is the selling price per unit? A. Not enough information B. $. C. $. D. $.
75) How much sales are required to earn a target income of $80,000 if total fixed costs are $100,000 and the contribution margin ratio is 40%? A. $330,000. B. $200,000. C. $300,000. D. $450,000.
76) A company requires $1,020,000 in sales to meet its net income target. What is the target net income? A. $126,000. B. $234,000. C. $306,000. D. $420,000.
77) At the break-even point of 2,500 units, variable costs are $55,000, and fixed costs are $32,000. How much is the selling price per unit? A. $. B. $9.20. C. $. D. $.
C. equals ending cash balance
78) A well-designed activity-based costing system starts with A. analyzing the activities performed to manufacture a product. Bputing the activity-based overhead rate. C. identifying the activity-cost pools. D. assigning manufacturing overhead costs for each activity cost pool to products.
79) An absorption-costing income statement separates cost into the major categories of_____. A. all of these answers are correct B. product and period C. manufacturing and nonmanufacturing D. inventoriable and noninventoriable
80) The last step in activity-based costing is to A. identify the cost https://maxloan.org/payday-loans-ok/ driver that has a strong correlation to the activity cost pool. B. assign manufacturing overhead costs for each activity cost pool to products. Cpute the activity-based overhead rate per cost driver. D. identify and classify the major activities involved in the manufacture of specific products.
81) Identify which of the following statements about “perfection standards” is true. A. All of these answers are correct B. It is generally believed that they have a negative influence on employee morale. C. They are expressions of the most efficient performance possible. D. They usually result in unfavorable variances.
82) Jack and Jill form a partnership. Jack runs the business in New York, while Jill vacations in Hawaii. During the time Jill is away from the business, Jack increases the debts of the business by $20,000. Which of the following statements is true regarding this debt? A. Neither Jack nor Jill is personally liable for the business debt, since the partnership is a separate legal entity. B. Only Jack is personally liable for the debt, since he has been the managing partner during that time. C. Only Jill is personally liable for the debt of the business, since Jack has been working and she has not. D. Both Jack and Jill are personally liable for the business debt.
83) A local retail shop has been operating as a sole proprietorship. The business is growing and now the owner wants to incorporate. Which of the following is not a reason for this owner to incorporate? A. the ease in transferring shares of the corporation?s stock B. ability to raise capital for expansion C. desire to limit the owner?s personal liability D. the prestige of operating as a corporation
84) The _____ is not one of the three major financial statements. A. statement of equity position B. statement of cash flows C. income statement D. balance