You are watching: To which function of management is cvp analysis most applicable?
Which the the complying with terms perform not appear on the contribution margin style income statement?contribution margin.variable expenses.operating income.gross profit.
The scattergram permits cost-volume relationship to be visually scanned for outlier monitorings that have to be:included in the calculate of the variable price component the the mixed cost.included in the calculation of the price formula of a combined cost.included in the calculate of the fixed price component that the combined cost.ignored in the calculation of the expense formula the a combined cost.
Which that the adhering to is the correct calculation for the donation margin ratio?contribution margin divided by sales revenue.sales revenue separated by variable costs.contribution margin divided by variable costs.sales revenue divided by donation margin.
ABU Co. Has actually several products, each with a different contribution margin ratio. If the same variety of units were offered in July as in June, yet the sales mix changed:fixed expenses in July would certainly be in a various relevant range than in June.the company"s as whole contribution margin proportion would be the same in June and July.operating earnings would it is in the very same in June and July.total donation margin in July would be various from that in June.
The ide of operating leverage refers to which of the following?Operating income transforms proportionately much less than revenue for any kind of given change in task level.Operating income alters proportionately less than earnings for any kind of given adjust in activity level.Operating income transforms proportionately an ext than revenue for any given change in task level.Operating income transforms proportionately more than earnings for any type of given adjust in activity level.
Which of the complying with statements go not describe a characteristics of management accounting?Management bookkeeping places a good deal of emphasis on the future.Approximate quantities rather 보다 accurate quantities or refined approximates are frequently used in monitoring accounting.Management bookkeeping must conform come GAAP.Management audit is an ext concerned with units that the organization rather than v the company as a whole.
As the full volume of task changes:variable costs per unit change.the full of fixed prices changes.the total of variable costs changes.fixed costs per unit remain the same.
The decision for solving manufacturing mix problems involving multiple products and also scarce production resources should focus on:gross profit of each product.sales price of every product.contribution margin of every product.contribution margin every unit that scarce resource.
A(n) _____________ is the minimum expense that can be incurred, which once subtracted native the selling price, enables for a desired profit to it is in earned.relevant costopportunity costtarget costincremental cost
Managerial accounting, as opposed to financial accounting, is primarily pertained to with:A. Present and future planning and control.B. Offering information come investors and also creditors.C. Historic results of operations.D. Preparing the current balance sheet of the company.
The relevant variety concept ad to:A. A firm"s selection of profitability.B. A firm"s selection of sales.C. A firm"s variety of rates of return.D. A firm"s range of activity.E. A firm"s range of expenses.
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Cost habits refers to:costs that are both an excellent and bad.costs that increase at a faster rate than others.costs that decrease at a faster rate than others.costs that space variable or fixed.none the the above.
Which that the following prices classifications would not be thought about relevant in compare decision alternatives?A. Possibility costB. Differential costC. Sunk costD. Incremental costE. None of the above
In considering whether to expropriate a special order at a price much less than the normal marketing price that the product, yet the extr sales will make use of presently idle capacity, which of the following expenses will not be relevant?A. Fixed manufacturing overhead that can be avoidedB. Straight materialsC. Change overheadD. Depreciation that the production plantE. Straight labor
If one asset costs $32,000, has actually an expected beneficial life that 10 years, is meant to have a $4,000 salvage value, and also generates net annual cash inflows that $8,000 a year, the cash payback duration is
The kind of costs included in a management evaluation relating to a capital budgeting decision have to be restricted to: