Q-1: whereas a fixed cost is constant per unit of product." Do you agree? Explain. "A variable cost is a cost that varies per unit of product,

Q: Contribution margin per unit is the amount by which a products unit selling price exceeds its…

A: Contribution margin:- Contribution margin Indicates how much money is left after variable costs are…

Q: 22. At the break-even point, fixed cost is aiways a. Equal to the contribution margin h. More than…

A: The Break-even point is the level of operation at which the company is in a no-profit / no loss…

Q: Contribution margin Select one: a. None of the answers are correct O b. excludes variable selling…

A: Contribution margin: Difference between the sales and the variable costs is called contribution…

Q: :The change in total cost from producing another unit of output equals the following Average total…

A: The marginal cost of production is the change in total production cost that comes from making or…

Q: 5. Which of the following best describes a fixed cost? A. Increase proportionately with output. B.…

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

Q: All else being equal, what happens to the unit contribution margin and the contribution margin ratio…

A: Contribution Margin = Sales per unit - Variable cost per unit

Q: 1. How will you allocate the fixed costs across the products?

A: Break-even refers to covering all the costs without making a profit. At break-even point company…

Q: Which of the following statements is true about fixed and variable costs? * Both costs are constant…

A: Solution:- When sales units are increases or decreases the total sales also increase or decreases…

Q: With respect to total fixed costs, which of the following statements is true?    a They will…

A: Cost refers to the expenditure incurred by an individual or entity in process of creation of goods…

Q: The variable cost ratio is calculated as: а. The selling price per unit ratio / variable cost per…

A: Variable cost = Variable manufacturing cost + Variable selling and administrative cost

Q: Which of the following statements about CVP analysis is true? O a. Operating income calculations in…

A: CVP is also known as Cost volume relationship which says that how much sales and  profits will…

Q: Which of the following cost behavior assumptions is true? (You may select morethan one answer.)a.…

A: Variable cost: The cost which changes according to the level of activity. These are not fixed in…

Q: Which of the following describes the behavior of the fixed cost per unit? Group of answer choices…

A: Fixed cost is defined as the cost independent of the good produced or service rendered in an entity.…

Q: The total contribution margin is equivalent to the combined net profit and fixed costs. It can be…

A: Solution: The total contribution margin is equivalent to the combined net profit and fixed costs =…

Q: ?Which one of the following is not considered an assumption of cost-volume-profit analysis Costs can…

A: The question is multiple choice question. The question is related to Marginal Costing and is of cost…

Q: 4) The break-even point is that level of activity where: A) sales revenue equals total variable…

A: Cost Accounting: It is the process of collecting, recording, analyzing the cost, summarizing cost,…

Q: Within the relevant range: a.        both total variable costs and total fixed costs will remain…

A: The costs incurred into the production are classified as fixed and variable costs. The variable…

Q: What is meant by an activity base when dealing with variable costs? Give several examples of…

A: Note: Since you have posted multiple questions, we will solve the first question. Please submit a…

Q: At the breakeven point Select one: O a. Sales will be equal to variable costs plus fixed costs b.…

A: Formula: Break even point in units = Fixed costs / contribution margin Contribution margin means…

Q: Describe how total variable costs and unit variable costs behave with changes in the level of…

A: Since you have asked questions with multiple sub-parts, we shall be answering thefirst 3 for you.…

Q: In economics, a fixed cost is a cost that O does not vary with the level of output. O goes down as…

A: The cost can be classified into two categories i.e fixed cost and variable cost. The  FIxed cost…

Q: 22) Which of the following expressions can be used to calculate break-even sales revenue with the…

A: Break-even analysis is a technique used widely by production management. It helps to determine the…

Q: Which of the following statements is CORRECT with respect to fixed costs per unit? Select one: A.…

A: Fixed costs are those costs which do not change with change in level of activity. For example,…

Q: Write “True” if the statement is true and write “False” if the statement is false A fixed cost is…

A: Variable cost includes: Direct material Wages Direct labor cost Commission on sales Fixed cost…

Q: All else being equal, what happens to the unit contribution margin and the contribution margin ratio…

A: Contribution Margin is sales less variable costs. Contribution Margin ratio = Contribution margin /…

Q: Which of the following statements about CVP analysis is true? O a. Operating income calculations in…

A: Selling price:  Selling price is a price set by the supplier at which he is ready to sell his…

Q: Contribution margin per unit is the amount by which a product's unit selling price exceeds its…

A: Selling price: Selling price is a price set by the supplier at which he is ready to sell his goods.…

Q: Which of the following is true of a variable cost? Total variable cost remains constant with…

A: Variable cost: It a cost that changes in total as a response to change in one or more cost drivers,…

Q: Which one of the following is not considered an assumption of cost-volume-profit analysis? a. Costs…

A: Cost - volume - profit analysis  It is used to determine the changes in cost and volume of sales…

Q: The break-even point is that level of activity where: Select one: a. sales revenue equals fixed…

A: Break Even point is a level where Profit is Zero

Q: Which of the following cost behavior assumptions is false? * a. Variable costs are constant if…

A: Solution: Cost behavior assumptions that is false is "Total fixed costs decrease as the level of…

Q: The contribution margin ratio is calculated as: O a. The selling price per unit ratio /variable cost…

A: Contribution Margin Ratio: The contribution margin ratio shows the amount of difference in the…

Q: Which one of the following statements is correct? O a. Avariable cost is a cost whose cost per unit…

A: The cost can be classified into two categories i.e fixed cost and variable cost. The  FIxed cost…

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: 4. Which of the following statements is correct? a. Gross margin and contribution margin are the…

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

Q: “All this marginal revenue and marginal cost stuff is just theory. Prices are determined by…

A: Pricing decisions:   Pricing decisions is one of the most important and required decision for the…

Q: Which of the following statements about CVP analysis is false? O a. The CVP analysis assumes that…

A: Cost Volume Profit (CVP) analysis is only accurate if costs are kept constant within a given…

Q: If Q equals the level of output, P is the selling price per unit, V is the variable cost per unit,…

A: Selling price: Selling price is a price set by the supplier at which he is ready to sell his goods…

Q: Variable costs per unit do not change when activity or production increases. Select one: O a. TRUE O…

A: Variable costs: Variable costs are those costs that change in proportion to change in the production…

Q: The contribution margin ratio is calculated as: a. None of the given answers b. Selling price per…

A: Contribution margin is the sales revenue over and above its variable costs. Contribution margin =…

Q: The variable cost ratio is calculated as: a. None of the given answers O b. The selling price per…

A: Variable cost means the cost which vary with the level of output and fixed cost means the cost which…

Q: ?Which of the following statements about CVP analysis is true .Operating income calculations in CVP…

A: Cost - Volume Profit Analysis ( CVP ) is used to identify how the changes in cost and volumes effect…

Q: All else being equal , what happens to the unit contribution margin and the contribution margin…

A: Contribution Margin: The process or theory which is used to judge the benefit given by each unit of…

Q: All else being equal, what happens to the unit contribution margin and the contribution margin ratio…

A: Contribution margin is calculated as Sales less variable costs. Sale price is the price at which the…

Q: Write “True” if the statement is true and write “False” if the statement is false.   Fixed cost is…

A: The total cost of production includes the variable costs, fixed costs and mixed costs.

Manufacturing Costs

Manufacturing cost is the total cost of procuring or producing a product. In other words, the manufacturing cost is the cost that an individual or business owner undertakes for the manufacturing of goods.