Multiple Choice
Major error(s) that must be avoided when using fixed cost information to make decisions are:
A) Using fixed costs per unit derived at all levels to forecast costs
B) Assuming that cost per unit does not change when volume changes
C) Both a & b
D) None of the above
Correct Answer:
Verified
Correct Answer:
Verified
Q9: Controlling costs or decreasing profit margins to
Q10: Product margin is calculated by this equation:
Q11: Total contribution margin is total revenues -
Q12: Common costs benefit_.<br>A) Everyone in an organization<br>B)
Q13: Relevant range is the range of activity
Q14: Total Revenues can be calculated using the
Q15: In a make-or-buy decision buying is always
Q16: Product margin = total contribution margin -
Q17: Incremental costs are always unforeseen.
Q18: The basic break-even equation is: price x