1.  Which of the following assumptions is false in a cost-volume-profit analysis? Total sales and total costs can be represented by straight lines. Within the relevant range of operating activity, the efficiency of operations does not change. Costs can be divided into fixed and variable components. There are changes in the inventory quantities during the period.

Q: Inventory carrying costs: include the costs of generating memos, fax transmissions, etc. associated…

A: Inventory carrying cost is the total of all expenses related to storing goods which are not sold…

Q: complete the following table which compares the effects of LIFO,  FIFO and weighted-average…

A: Inventory valuation in costing is done using mainly three methods namely FIFO, LIFO and weighted…

Q: Many financial analysts substitute one amount for another in making ratioanalysis comparisons in…

A: Financial accounting: Financial accounting is the process of recording, summarizing, and reporting…

Q: Choose the best answer for each of the following multiple-choice questions.1. Cost-volume-profit…

A: Since you have asked multiple questions, we will solve the first question for you. If you want any…

Q: Under the LIFO cost flow assumption during a period ofinflation, which of the following is false? A.…

A: Inflation and cost of goods sold - a company selling goods during periods of inflation will see an…

Q: Which one of the following sets of inventory cost flow assumptions is not susceptible to profit…

A: FIFO and average cost methods are considered as the sets of inventory cost flow assumptions that are…

Q: Like many technology companies, TechnoTools operates in an environment of decliningprices. Its…

A: The last in, first-out (LIFO) is a system utilized to store reports of the latest items first…

Q: Which of the following statements is true regarding a company's segment margin? It is primarily used…

A: Solution: The true statement regarding a company's segment margin is that "It is primarily used to…

Q: Explain whether the following situations, taken independently, would be favorable or unfavorable: (…

A: Favorable is the condition that is positive for a business. This implies that the variance or the…

Q: For each item below, indicate whether FIFO or LIFO will generally result in a higher reported amount…

A: Last-in-First-Out (LIFO): In this method, items purchased recently are sold first. So, the value of…

Q: Identify the inventory costing method (SI, FIFO, LIFO, or WA) best described by each of the…

A: Each inventory valuation methods possesses its own uniqueness that will affect the financial…

Q: A company's inventory cost was lower in FIFO than it would have been using LIFO. Assuming no…

A: Inventory is the stock of goods with the company which is ready to sell out. It covers large…

Q: In comparing the absorption and variable cost methods, each of the following statements is true…

A: Variable Costing: The variable costing is a method used to allocate the fixed manufacturing overhead…

Q: ending inventory increases therefore net income under AC and VC will be same Select one: True False

A: The income statement can be prepared using various approaches as contribution margin or absorption…

Q: The weighted average inventory cost flow method is the least used of the inventory costing methods.…

A: Step 1 “Since you have posted a question with multiple questions, we will solve the first question…

Q: Which one of the following is not a disadvantage of the specific identification method of inventory…

A: Under specific identification methods of inventory, specific inventory movement is measured. So it…

Q: In which of the following scenarios does the basic Economic Order Quantity model can be applied? * O…

A: Lets understand the basics. Economic order quantity(EOQ) is a quantity at which ordering cost and…

Q: An advantage of the weighted average inventory method is that it smooths out erratic changes in…

A: Inventory accounting is the branch of accounting concerned with the valuation and accounting for…

Q: Cost-volume-profit analysis (CVP Analysis) requires management to classify all costs as either…

A: Cost volume profit analysis (CVP Analysis) helps the business entity in determining the impact on…

Q: 1. Compute the Cost of Goods Sold, Ending Inventory, and Gross Profit using the following cost flow…

A: Date                    Particulars                          Input Quantity  output Qty Unit cost…

Q: variable costing

A: What will be the difference in net earnings computed using variable costing as opposed toabsorption…

Q: The fundamental EOQ model a. provides for fluctuating lead times during reorder cycles. b. is…

A: EOQ (Economic order quantity): A decision much out the great inventory management. the quantity to…

Q: Which statements below are true? 1. LCM and LCNRV may be applied by individual products, by…

A:

Q: CVP analysis makes all of the following assumptions except     a change in volume is the only…

A: In order for a CVP analysis to be accurate, certain assumptions must be met. These assumptions are:…

Q: Cost-volume-profit analysis is used for ________. analyzing the effects of changes in costs on…

A: Cost volume profit analysis is designed for profit forecasting at varying levels of sale volume and…

Q: Samsung Electronics reports the following regarding its accounting for inventories. Inventories are…

A:

Q: Steadily increasing cost of goods sold as a percentage of net revenues is an indication ofa.…

A: Answer: a. decreasing earnings quality.

Q: Which of the following is NOT an assumption of cost-volume-profit analysis?   Question 10…

A: The question is based on the concept of Cost Accounting.

Q: 7. Under variable costing, which of the following costs are assigned to inventory? Variable Selling…

A: Hi Student Since there are multiple questions we will answer only first question. If you want…

Q: What is true in explaining ABC analysis? This process divides items into three classes according to…

A: Hi, since there are multiple questions posted, as per our guidelines we will answer the first…

Q: If merchandise inventory is being valued at cost and the purchase price is steadily falling, which…

A: Inventory can be valued using many ways such as : FIFO LIFO Weighted Average Average cost

Q: In comparing the absorption and variable cost methods, each of the following statements is true…

A: Variable Costing:The variable costing is a method used to allocate the fixed manufacturing overhead…

Q: Compared to using the weighted average cost method to account for inventory, during aperiod in which…

A: First-in-First-Out (FIFO):   In First-in-First-Out method, the costs of the initially purchased…

Q: he management of Milque Corp. is considering the effects of various inventory-costing methods on its…

A: Introduction:- The following four inventory valuation methods used as follows under:- First-In,…

Q: Which of the following statements is true with regard to the gross profit ratio? An increase in…

A: Gross profit is an excess amount of revenue over its cost of goods sold.it measures profitability…

Q: If the ending inventory of a firm is overstated by $56,000, by how much and in what direction…

A: The answer is as fallows

Q: Which of the following statements is true regarding the lower of cost or net-realizable value (NRV)?…

A: Inventory means the stock of goods in which the businessmen deals. Every company wants to maintain…

Q: Which cost flow assumption generally results in the highest reported amount of net income in periods…

A: Solution: Under FIFO method, inventory is valued at latest purchase cost. Therefore in period of…

Q: .When applying the lower of cost or net realizable value (LCNRV) method, inventory value reported…

A: As per the lower of cost or net realizable value (LCNRV) method, inventory should be recognized at…

Q: In order to get the lowest profits possible in periods of rising inventory costs, the company should…

A: Inventory costing is an accounting concept that has direct consequence on company’s gross profit and…

Q: Match each of the following descriptions with the appropriate term.   Clear All Plots only the…

A: Given, Match each of the following descriptions with the appropriate term.

Q: What is the purpose of the lower of cost or net realizable value rule?

A: lower of cost or net realizable value rule(LCNRV method):Inventory should be valued at the lower of…