You are watching: To which function of management is cvp analysis most applicable
Which that the complying with terms carry out not appear on the donation margin style income statement?contribution margin.variable expenses.operating income.gross profit.
The scattergram permits cost-volume relationship to it is in visually scanned for outlier monitorings that must be:included in the calculate of the variable price component that the combined cost.included in the calculation of the expense formula the a mixed cost.included in the calculation of the fixed price component of the combined cost.ignored in the calculation of the price formula of a combined cost.
Which that the following is the correct calculation because that the donation margin ratio?contribution margin separated by sales revenue.sales revenue separated by variable costs.contribution margin split by change costs.sales revenue divided by contribution margin.
ABU Co. Has actually several products, each through a various contribution margin ratio. If the same number of units were offered in July together in June, however the sales mix changed:fixed expenses in July would certainly be in a various relevant selection than in June.the company"s overall contribution margin ratio would be the exact same in June and July.operating revenue would be the same in June and July.total contribution margin in July would be various from the in June.
The ide of operating leverage refers to which of the following?Operating income changes proportionately much less than income for any kind of given adjust in activity level.Operating income changes proportionately much less than profits for any given change in task level.Operating income transforms proportionately much more than revenue for any kind of given adjust in task level.Operating income transforms proportionately an ext than revenues for any kind of given adjust in activity level.
Which that the adhering to statements walk not explain a characteristics of administration accounting?Management accountancy places a an excellent deal of focus on the future.Approximate quantities rather 보다 accurate quantities or refined approximates are often used in management accounting.Management audit must conform to GAAP.Management bookkeeping is an ext concerned through units of the company rather than v the company as a whole.
As the total volume of activity changes:variable prices per unit change.the total of fixed costs changes.the total of variable expenses changes.fixed expenses per unit continue to be the same.
The decision for solving manufacturing mix difficulties involving many products and also scarce manufacturing resources should focus on:gross benefit of every product.sales price of each product.contribution margin of every product.contribution margin per unit that scarce resource.
A(n) _____________ is the minimum cost that can be incurred, which once subtracted native the offering price, allows for a preferred 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 also future planning and also control.B. Giving information come investors and also creditors.C. Historical results of operations.D. Preparing the present balance sheet of the company.
The relevant variety concept advert to:A. A firm"s selection of profitability.B. A firm"s selection of sales.C. A firm"s selection of prices of return.D. A firm"s range of activity.E. A firm"s selection of expenses.
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Cost actions refers to:costs that space both great and bad.costs that boost at a faster rate than others.costs that decrease in ~ a quicker rate 보다 others.costs that space variable or fixed.none that the above.
Which that the following costs classifications would certainly not be taken into consideration relevant in comparing decision alternatives?A. Chance costB. Differential costC. Sunk costD. Incremental costE. None of the above
In considering whether to accept a distinct order at a price much less than the normal marketing price that the product, however the additional sales will exploit presently idle capacity, i m sorry of the following prices will no be relevant?A. Fixed production overhead that can be avoidedB. Straight materialsC. Variable overheadD. Depreciation of the manufacturing plantE. Straight labor
If one asset costs $32,000, has actually an expected advantageous life that 10 years, is supposed to have actually a $4,000 salvage value, and also generates net annual cash inflows of $8,000 a year, the cash payback duration is
The kind of costs had in a management analysis relating come a resources budgeting decision have to be minimal to: