cost volume profit analysis
Q: At the break-even point: O a Sales would be equal to contribution margin. Ob Sales Would be equal to…
A: Break-Even Point: This is a point where total revenue and total cost are equal and the company is…
Q: Which of the following is determined by subtracting all variable costs from the total selling price?…
A: Income statement is a financial statement that shows profitability, total revenue and total…
Q: ing control ing relative efficiency short-term, spare capacity de
A: Cost refers to the compiled sum of all the expenses involved while manufacturing a product.
Q: 1. At the break-even point than a yot nisb a. Contribution margin = fixed costs b. Variable costs =…
A: Break even point resents the level of sales or revenue at which total costs (fixed costs and…
Q: 19. The study of the effects of output volume on revenue, expenses and net income is known as A. O…
A: Budgeting, cvp analysis is part of cost management to evaluate costing system of a business.
Q: 2. Determine the missing amounts. Contribution Margin Contribution Margin per Unit Unit Selling…
A: The missing figures in the above table.
Q: Ch. 5 Fixed Costs/Per Unit Pleaes explain the following concept/rule and give an example: Why do…
A: Fixed cost is a cost which is constant in the short run, it is not related to any change in the…
Q: VOLUME BASED COST SYSTEMS Pg 4 Would you please tell me the formula and how to solve for "Total…
A: Manufacturing overhead costs: Manufacturing overhead costs are costs that are not directly related…
Q: None
A: A standard cost is a predetermined cost that serves as a benchmark for measuring performance. Let's…
Q: Which of the following items would not be found on a contribution format income statement?…
A: Cost-Volume-Profit analysis is the technique of managerial accounting, which examines that how…
Q: Sort the following contribution margin income statement line items in the correct order from top…
A: Operating income is calculated after deducting the variable costs and fixed costs from the total…
Q: All of the following represents a cost-volume-profit relationship except: O a. Profit = total…
A: This option not representing a cost volume profit relationship:- b. Total contribution margin +…
Q: 10. Total of all direct costs is termed as A. prime cost B. works cost C. cost of sales D. cost of…
A: Option a: This option is correct because prime cost in accounting refers to the total direct costs…
Q: Which of the following statements is true? * O a. A common cost is one type of direct cost. O b. A…
A: The question is related to Choose which of the statement is true.
Q: What is target cost per unit? Question content area bottom
A: Target cost is the cost which is sufficient to develop specified functionality and quality of a…
Q: The is the amount remaining from sales revenue after all variable expenses have been deducted a.…
A: Sale revenue is the amount of revenue earned by the entity by selling goods in the market. It is…
Q: In the standard cost formula Y = a + bX, what does the "Y" represent? total cost variable cost per…
A: Variable cost: Variable cost refers to that cost which gets increased with the increase in the…
Q: Within a relevant range, costs that increase in direct proportion to volume are: Question 9…
A: Variable costs are proportional to the level of output within a relevant range. On the other hand,…
Q: An estimated cost per unit in long run which enables the company to achieve its per unit desired…
A: Solution: An estimated cost per unit in long run which enables the company to achieve its per unit…
Q: 11. Choose the scope of cost accounting that is primarily prepared for different level of…
A: Cost accounting is a process by which costs of products and services are ascertained and controlled.…
Q: For which of the following cost flow methods does generally accepted accounting principles require…
A: Ans. In case of Inventories, it is generally accepted accounting principles is to measure at cost or…
Q: Which costing techniques are related to a predetermined cost as a performance targe and actual…
A: Solution: "Standard costing" are related to a predetermined cost as a performance target and actual…
Q: Which among the following cost encourage management to focus on life cycle costing? a. Maintenance…
A: Life cycle costing is a method of adding up all the cost related with an asset starting from its…
Q: With respect to Pricing decision in Cost Accounting, state any 4 situations where pricing below…
A: Pricing decision plays an important role in an product sales and growth where the price of the…
Q: Unfinished Selling Finished Selling Price PRODUCT Further Price Processing Costs A P31.27 P62.37…
A: Incremental profit or loss is the amount which is determined to take necessary decisions like…
Q: The calculation to determine target cost is
A: Target costing is a cost accounting approach in which companies set targets for cost based on the…
Q: 033.13-TF- MANK08 Several related measures of cost can be derived from a firm's total cost. O a.…
A: Total cost refers to the sum of all the costs incurred by a firm in the production of goods or…
Q: Malmo, Inc. manufactures travel locks. The budgeted selling price is $12 per lock, the variable cost…
A: Flexible budget means expected income and expenditure in future to find out budgeted income.…
Q: **Question:** Which method is commonly used in accounting to compare actual costs with standard…
A: Activity based costing - It assigns overhead costs to products based on activities they require
Q: (c) Describe a situation where net profit under variable costing is higher than absorption JIT…
A: Variable costing is a costing method in which overhead is incurred in the period of production of…
Q: 3. The sales level at which operating income is zero. Drop in sales a company can absorb without…
A: Break even analysis involves determination of sales level at which the firm's total revenue equals…
Q: Question 4: Define the following:…
A: Variable cost refers to that cost which variate with the variations in the production or sales…
Q: Question Content Area Which of the following graphs in Figure 1 illustrates the behavior of a total…
A: Dear student, below is the answer to your question along with a detailed explanation:Part 1:…
Q: A changes in direct proportion to changes in the cost-driver level * mixed costs O fixed costs O…
A: If the change in cost and change cost driver level is of direct proportion, it is not fixed cost or…
Q: Why is variable cost $174?
A: Variable costs are the costs which are directly related to the production of a unit. If there is no…
Q: Which of the following does not represent a cost-volume-profit analysis equation? Profit…
A: Cost-Volume profit Analysis:- It is a method of cost accounting which look for the impact of cost…
Q: On the cost-volume-profit graph, the area between the total cost line and the sales line before the…
A: This is part of break-even analysis.
Q: Chapter 21: Cost Behavior and Cost-Volume-Profit Analysis Requirement 1: Please explain variable,…
A: “Since you have asked multiple question, we will solve the first question for you. If you want any…
Q: QUESTION 14 At the break-even point, O A. total cost equals total revenue O B. output equals…
A: Cost-Volume-Profit (CVP) analysis is a financial management tool used by businesses to understand…
Q: Which among the following cost encourage management to focus on life cycle costing? a. Warranty…
A: All of following cost encourage management to focus on life cycle costing:: Warranty…
Q: Variable Costing, Absorption Costing During its first year of operations, Snobegon, Inc. (located in…
A: Under Variable Costing, Contribution margin = Sales - Variable cost Operating Income = Contribution…
Q: Which of the following is a costing method? O a. a. Target Costing O b. Standard Costing c. Marginal…
A: Solution: "Job costing" is a costing method. This is because main costing methods include job…
Q: Question 1: Which statement about budgets is incorrect? Answer: A. B. C. D. O They determine the…
A: “Since you have asked multiple question, we will solve the first question for you. If you want any…
Q: These are costs that vary in unit. a• Variable Cost b• Fixed Cost c• Mixed Cost d• Relevant Cost
A: SOLUTION- FIXED COST WILL NOT CHANGE IN TOTAL WITH IN A REASONABLE RANGE OF VOLUME OR ACTIVITY .…
Q: The following are nine technical accounting terms: Responsibility margin Contribution margin…
A: Responsibility accounting is a term that asserts that each expenditure incurred in the organization…
Q: Question 4 All of the following represents a cost-volume-profit relationship except: a. Sales -…
A: As per cost - volume - profit analysis, profit is computed as difference between sales and total…
Q: The approach that requires the transfer price to be less than the market price but greater than the…
A: Standard cost is the cost that has been fixed by the company at the beginning of the period.…
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- Chapter 3- CVP Cost-volume-profit (CVP) analysis requires an understanding of cost behavior: variable and fixed costs. Cost behavior differs from the GAAP-based financial reporting focus: product and period costs. The two ways to categorize costs results in TWo different income statements: Absorption costing income statement: S-C-GM-SA-NI (Key assumption: Split costs into product and period costs) Variable costing income statement: S-VE-CM-FE-NI (Key assumption: Split costs into variable and fixed) 1. 2. Absorption Costing Income Statement Variable Costing Income Statement Sales $500,000 Sales $500,000 Less: Variable expenses Less: Cost of goods sold: Variable (DM+DL+VOH) Fixed (FOH) Gross margin 100,000 Product costs 100,000 60,000 S&A costs 110,000 340,000 Contribution margin 290,000 Less: Fixed expenses Less: Selling & administrative Variable 110,000 Product costs 60,000 Fixed 140,000 S&A costs 140,000 Taxable income $90,000 Taxable income $90,000 LINK THE LINEAR COST FUNCTION TO…Determine the I target cost for model J 20, assuming that the historical markup on product cost and selling price are maintainedRequired information The Foundational 15 [LO4-1, LO4-2, LO4-3, L04-4, LO4-5] [The following information applies to the questions displayed below.] Clopack Company manufactures one product that goes through one processing department called Mixing. All raw materials are introduced at the start of work in the Mixing Department. The company uses the weighted-average method of process costing. Its Work in Process T-account for the Mixing Department for June follows (all forthcoming questions pertain to June): Work in Process-Mixing Department Completed and transferred to Finished June 1 balance 28,000 ? Goods Materials 120,000 79,500 97,000 Direct labor Overhead June 30 balance The June 1 work in process inventory consisted of 5,000 units with $16,000 in materials cost and $12,000 in conversion cost. The June 1 work in process inventory was 100% complete with respect to materials and 50% complete with respect to conversion. During June, 37,500 units were started into production. The June 30…
- The inventory cost computed under absorption costing is ____ the inventory cost computed using variable costing. Group of answer choices half of thrice as much equal to greater thanQUESTION 9 The contribution margin ratio is equal to: O total manufacturing expenses / sales. contribution margin / sales. O 1- (Gross margin / sales). O 1- (Contribution margin / sales).:On the cost-volume-profit graph, the intersection between the total cost line and (Y) axis represents The profit area a O The fixed cost amount b O The loss area .c O The contribution margin per unit .d O The variable cost amount eeV@hdows Go to Settings to activate Wil 081 ENG hp 19 11 inprt sc delete home end & num 6 8 9. backspace = lock V { Y U 7 V 8. home H. K enter pause N 1 shift 上 end alt ctrl Pm 近
