Q&A Hero

Q: 32 Degrees, Inc., a manufacturer of frozen food, began operations on July 1 of the current year. During this time, the company produced 140,000 units and sold 140,000 units at a sales price of $125 per unit. Cost information for this period is shown in the following table: Production costs Direct materials $13.00 per unit Direct labor $6.00 per unit Variable overhead $2,100,000 in total Fixed overhead $3,220,000 in total Nonproduction costs Variable selling and administrative $91,000 in total Fixed selling and administrative $458,000 in total a. Prepare 32 Degrees December 31 income statement for the current year under absorption costing. b. Prepare 32 Degrees December 31 income statement for the current year under variable costing.

Q: Peapod Company, a manufacturer of slippers, began operations on May 1 of the current year. During this time, the company produced 200,000 units and sold 180,000 units at a sales price of $36 per unit. Cost information for this period is shown in the following table: Production costs Direct materials $4.00 per unit Direct labor $5.75 per unit Variable overhead $286,000 in total Fixed overhead $420,000 in total Non-production costs Variable selling and administrative $8,000 in total Fixed selling and administrative $30,000 in total a. Prepare Peapods December 31 income statement for the current year under absorption costing. b. Prepare Peapods December 31 income statement for the current year under variable costing.

Q: Planet Corporation sold 21,000 units of its product at a price of $250 per unit. Total variable cost per unit is $187, consisting of $104 in variable production cost and $83 in variable selling and administrative cost. Compute the manufacturing margin for the company under variable costing.

Q: Digby Company manufactured and sold 37,000 units of its product at a price of $93 per unit. Total variable cost per unit is $60, consisting of $58 in variable production cost and $2 in variable selling and administrative cost. Fixed costs of manufacturing are $350,000. a. Compute the manufacturing margin for the company under variable costing. b. Compute the contribution margin based on this data. c. Compute the gross margin under absorption costing.

Q: Assume a company sells a given product for $18 per unit. Variable selling costs are $0.70 per unit and variable production costs are $5.30 per unit. If the company breaks even when selling 4,000,000 units, what are total fixed costs?

Q: Assume a company sells a given product for $83 per unit. Variable selling costs are $20.75 per unit and variable production costs are $49.80 per unit. If the company breaks even when selling 300,000 units, what are total fixed costs?

Q: Assume a company sells a given product for $33.28 per unit. How many units must the company sell to break-even if variable selling costs are $1.40 per unit, variable production costs are $23.56 per unit, and total fixed costs are $2,080,000?

Q: A company is currently operating at 70% capacity producing 8,000 units. Cost information relating to this current production is shown in the following table: Per Unit Sales price $15 Direct material $3.20 Direct labor $7.10 Variable overhead $0.05 Fixed overhead $0.60 The company has been approached by a customer with a request for a special order for 1,500 units. The sales price per unit for this special order is $10. Should the company accept the special order?

Q: A company is currently operating at 65% capacity producing 12,000 units. Cost information relating to this current production is shown in the following table: Per Unit Sales price $6 Direct material $2.30 Direct labor $0.87 Variable overhead $0.91 Fixed overhead $0.70 The company has been approached by a customer with a request for a special order for 2,000 units. What is the minimum per unit sales price that management would accept for this order if the company wishes to increase current profits?

Q: A company is currently operating at 60% capacity producing 10,000 units. Cost information relating to this current production is shown in the following table: Per Unit Sales price $21 Direct material $6 Direct labor $4.12 Variable overhead $2.23 Fixed overhead $0.80 The company has been approached by a customer with a request for a special order for 5,000 units. What is the minimum per unit sales price that management would accept for this order if the company wishes to increase current profits?

Q: What is the general procedure for converting variable costing net income to absorption costing net income?

Q: How will net income under variable costing compare to net income under absorption costing in the following three situations? Explain briefly the cause of any differences. (a) Units produced equal units sold (b) Units produced exceed units sold (c) Units produced are less than units sold

Q: What is the formula to compute break-even volume in units?

Q: What are the benefits of using variable costing when striving to control costs? Are these benefits available under absorption costing?

Q: When excess capacity exists, what is the minimum special order price a manager should accept to increase net income?

Q: What costs are treated as product costs under the variable costing method?

Q: What costs are treated as product costs under the absorption costing method?

Q: Match each of the following terms (a) through (j) with the appropriate definitions 1 through 10. (a) Absorption costing (b) Variable costing (c) Contribution margin (d) Contribution format (e) Manufacturing margin (f) Contribution margin ratio (g) Break-even point (h) Product costs (i) Period costs (j) Gross margin _____ (1) Sales less cost of goods sold. _____ (2) A specific number of units sold that produces total income equal to zero. _____ (3) Sales less variable production costs. _____ (4) A costing method that includes all manufacturing costs. _____ (5) Costs that are expensed in the period they are incurred. _____ (6) Sales less variable expenses. _____ (7) A costing method that includes only variable manufacturing costs. _____ (8) Direct labor, direct materials, and manufacturing overhead. _____ (9) An income statement format that focuses on cost behavior. _____(10) Contribution margin divided by sales.

Q: Given the following data, calculate the total product cost per unit under absorption costing. Direct labor $3.50 per unit Direct materials $1.25 per unit Overhead Total variable overhead $41,400 Total fixed overhead $150,000 Expected units to be produced 18,000 units A. $4.75 per unit B. $7.05 per unit C. $13.08 per unit D. $15.38 per unit E. $16 per unit

Q: Given the following data, calculate the total product cost per unit under variable costing. Direct labor $3.50 per unit Direct materials $1.25 per unit Overhead Total variable overhead $41,400 Total fixed overhead $150,000 Expected units to be produced 18,000 units A. $4.75 per unit B. $7.05 per unit C. $15.38 per unit D. $13.08 per unit E. $16 per unit

Q: Given the following data, calculate product cost per unit under absorption costing. Direct labor $7 per unit Direct materials $1 per unit Overhead Total variable overhead $20,000 Total fixed overhead $90,000 Expected units to be produced 40,000 units A. $8 per unit B. $8.50 per unit C. $10.25 per unit D. $10.75 per unit E. $12 per unit

Q: Given the following data, calculate product cost per unit under variable costing. Direct labor $7 per unit Direct materials $1 per unit Overhead Total variable overhead $20,000 Total fixed overhead $90,000 Expected units to be produced 40,000 units A. $8 per unit B. $8.50 per unit C. $10.25 per unit D. $10.75 per unit E. $12 per unit

Q: Front Company had net income of $72,500 based on variable costing. Beginning and ending inventories were 800 units and 1,200 units, respectively. Assume the fixed overhead per unit was $7.90 for both the beginning and ending inventory. What is net income under absorption costing? A. $69,340 B. $75,660 C. $88,300 D. $56,700 E. $72,900

Q: Pact Company had net income of $972,000 based on variable costing. Beginning and ending inventories were 7,800 units and 5,200 units, respectively. Assume the fixed overhead per unit was $3.61 for both the beginning and ending inventory. What is net income under absorption costing? A. $962,614 B. $1,018,923 C. $925,077 D. $969,400 E. $981,379

Q: Fomtech, Inc. had net income of $750,000 based on variable costing. Beginning and ending inventories were 50,000 units and 48,000 units, respectively. Assume the fixed overhead per unit was $.75 for both the beginning and ending inventory. What is net income under absorption costing? A. $751,500 B. $676,500 C. $823,500 D. $748,500 E. $750,000

Q: Dent Corporation had net income of $182,000 based on variable costing. Beginning and ending inventories were 5,000 units and 8,000 units, respectively. Assume the fixed overhead per unit was $3 for both the beginning and ending inventory. What is net income under absorption costing? A. $173,000 B. $221,000 C. $191,000 D. $143,000 E. $185,000

Q: Aces, Inc., a manufacturer of tennis rackets, began operations this year. The company produced 6,000 rackets and sold 4,900. At year-end, the company reported the following income statement using absorption costing. Sales (4,900 x $90) $441,000 Cost of goods sold (4,900 x $38) 186,200 Gross margin $254,800 Selling and administrative expenses 75,000 Net Income $179,800 Production costs per tennis racket total $38, which consists of $25 in variable production costs and $13 in fixed production costs (based on the 6,000 units produced). Ten percent of total selling and administrative expenses are variable. Compute net income under variable costing. A. $194,100 B. $165,500 C. $311,000 D. $240,500 E. $233,000

Q: Wind Fall, a manufacturer of leaf blowers, began operations this year. During this year, the company produced 10,000 leaf blowers and sold 8,500. At year-end the company reported the following income statement using absorption costing: Sales (8,500 x $45) $382,500 Cost of goods sold (8,500 x $20) 170,000 Gross margin $212,500 Selling and administrative expenses 60,000 Net income $152,500 Production costs per leaf blower total $20, which consists of $16 in variable production costs and $4 in fixed production costs (based on the 10,000 units produced). Fifteen percent of total selling and administrative expenses are variable. Compute net income under variable costing. A. $146,500 B. $158,500 C. $237,500 D. $206,500 E. $246,500

Q: Assume that the following information was available for Daylight Enterprises, Inc. Which of the following statements is(are) true with regard to contribution margin ratio? Ceiling Lights Tabletop Lights Stand-Alone Lights Sales $350,000 $175,000 $440,000 Variable expenses Variable production $70,000 $19,250 $90,000 Variable advertising $10,500 $3,500 $22,000 Variable shipping $12,000 $14,000 $28,000 A. Tabletop lights has the lowest contribution margin ratio. B. Ceiling lights has the highest contribution margin ratio. C. Ceiling lights has the lowest contribution margin ratio. D. Stand-alone lights has the highest contribution margin ratio. E. Tabletop lights has the highest contribution margin ratio.

Q: Assume that the following information was available for Guy Brown Company. How would Maria Teresa Vazquez and the other owners evaluate this information based on contribution margin ratio? Recycled Toner Cartridges Office Supplies Furniture Sales $500,000 $700,000 $900,000 Variable expenses Variable production $50,000 $140,000 $270,000 Variable advertising $5,000 $14,000 $36,000 Variable shipping $10,000 $28,000 $72,000 A. Recycled toner cartridges has the lowest contribution margin ratio. B. Furniture has the highest contribution margin ratio. C. Office supplies has the highest contribution margin ratio. D. Recycled toner cartridges has the highest contribution margin ratio. E. Based on contribution margin ratio, the owners should consider expanding the furniture line and scaling back on office supplies and recycled toner cartridges.

Q: Decko Industries reported the following monthly data: Units produced 52,000 units Sales price $33 per unit Direct materials $1.50 per unit Direct labor $2.50 per unit Variable overhead $3.50 per unit Fixed overhead $234,000 in total What is the companys contribution margin for this month if 50,000 units were sold? A. $1,326,000 B. $1,716,000 C. $1,275,000 D. $1,650,000 E. $1,450,000

Q: What is the Red and Whites contribution margin for this month if 980 units were sold? A. $38,000 B. $18,620 C. $24,500 D. $50,000 E. $21,560

Q: Swola Company reports the following annual cost data for its single product. Normal production level 75,000 units Direct materials $1.25 per unit Direct labor $2.50 per unit Variable overhead $3.75 per unit Fixed overhead $300,000 in total This product is normally sold for $25 per unit. If Swola increases its production to 200,000 units, while sales remain at the current 75,000 unit level, by how much would the companys gross margin increase or decrease under variable costing? A. $187,500 increase. B. $112,500 increase. C. There will be no change in gross margin. D. $112,500 decrease. E. $187,500 decrease.

Q: Swola Company reports the following annual cost data for its single product. Normal production level 75,000 units Direct materials $1.25 per unit Direct labor $2.50 per unit Variable overhead $3.75 per unit Fixed overhead $300,000 in total This product is normally sold for $25 per unit. If Swola increases its production to 200,000 units, while sales remain at the current 75,000 unit level, by how much would the companys gross margin increase or decrease under absorption costing? A. $187,500 increase. B. $112,500 increase. C. There will be no change in gross margin. D. $112,500 decrease. E. $187,500 decrease.

Q: Swisher, Incorporated reports the following annual cost data for its single product: Normal production level 30,000 units Direct materials $6.40 per unit Direct labor $3.93 per unit Variable overhead $5.80 per unit Fixed overhead $150,000 in total This product is normally sold for $48 per unit. If Swisher increases its production to 50,000 units, while sales remain at the current 30,000 unit level, by how much would the companys gross margin increase or decrease under variable costing? A. $60,000 decrease. B. $90,000 decrease. C. There is no change in gross margin. D. $90,000 increase. E. $60,000 increase.

Q: Swisher, Incorporated reports the following annual cost data for its single product: Normal production level 30,000 units Direct materials $6.40 per unit Direct labor $3.93 per unit Variable overhead $5.80 per unit Fixed overhead $150,000 in total This product is normally sold for $48 per unit. If Swisher increases its production to 50,000 units, while sales remain at the current 30,000 unit level, by how much would the companys gross margin increase or decrease under absorption costing? A. $60,000 decrease. B. $90,000 decrease. C. There is no change in gross margin. D. $90,000 increase. E. $60,000 increase.

Q: Branwin Corporation sold 7,200 units of its product at a price of $35.60 per unit. Total variable cost per unit is $17.55, consisting of $10.50 in variable production cost and $7.05 in variable selling and administrative cost. Compute contribution margin for the company. A. $256,320 B. $126,360 C. $50,760 D. $129,960 E. $180,720

Q: Sindler Corporation sold 3,000 units of its product at a price of $13 per unit. Total variable cost per unit is $7.50, consisting of $6.80 in variable production cost and $.70 in variable selling and administrative cost. Compute contribution margin for the company. A. $39,000 B. $22,500 C. $16,500 D. $18,600 E. $36,900

Q: Given the Cool Pools Company data, what is net income using variable costing? A. $1,649,480 B. $1,648,600 C. $1,627,150 D. $1,709,480 E. $1,708,600

Q: Given the Cool Pools Company data, what is net income using absorption costing? A. $1,649,480 B. $1,648,600 C. $1,627,150 D. $1,709,480 E. $1,708,600

Q: Given the Scavenger Company data, what is net income using variable costing? A. $201,250 B. $181,250 C. $150,000 D. $177,600 E. $276,250

Q: Given the Scavenger Company data, what is net income using absorption costing? A. $201,250 B. $181,250 C. $150,000 D. $177,600 E. $276,250

Q: Given the Star Services Inc. data, what is net income using variable costing? A. $18,670,000 B. $18,774,000 C. $16,360,000 D. $11,274,000 E. $11,170,000

Q: Given the Star Services, Inc. data, what is net income using absorption costing? A. $18,670,000 B. $18,774,000 C. $16,360,000 D. $11,275,000 E. $11,170,000

Q: Vision Tester, Inc., a manufacturer of optical glass, began operations on February 1 of the current year. During this time, the company produced 900,000 units and sold 800,000 units at a sales price of $12 per unit. Cost information for this year is shown in the following table: Production costs Direct materials $.80 per unit Direct labor $.70 per unit Variable overhead $500,000 in total Fixed overhead $450,000 in total Non-production costs Variable selling and administrative $30,000 in total Fixed selling and administrative $490,000 in total Given this information, which of the following is true? A. Net income under variable costing will exceed net income under absorption costing by $50,000. B) Net income under absorption costing will exceed net income under variable costing by $50,000. C. Net income will be the same under both absorption and variable costing. D. Net income under variable costing will exceed net income under absorption costing by $60,000. E. Net income under absorption costing will exceed net income under variable costing by $60,000.

Q: Chance, Inc. sold 3,000 units of its product at a price of $72 per unit. Total variable cost per unit is $51, consisting of $32 in variable production cost and $19 in variable selling and administrative cost. Compute the manufacturing margin for the company under variable costing. A. $96,000 B. $63,000 C. $120,000 D. $216,000 E. ($90,000)

Q: Romtech Company sold 43,000 units of its product at a price of $300 per unit. Total variable cost per unit is $175, consisting of $168 in variable production cost and $7 in variable selling and administrative cost. Compute the manufacturing margin for the company under variable costing. A. $5,375,000 B. $5,676,000 C. $12,599,000 D. $12,900,000 E. $7,525,000

Q: A company reports the following information for its first year of operations: Units produced this year ? units Units sold this year 1,500 units Direct materials $9 per unit Direct labor $5 per unit Variable overhead $7 per unit Fixed overhead $24,000 in total If the companys cost per unit of finished goods using absorption costing is $27, how many units were produced? A. 4,000 units. B. 3,600 units. C. 1,846 units. D. 2,667 units. E. 2,000 units.

Q: A company reports the following information for its first year of operations: Units produced this year 43,000 units Units sold this year 39,000 units Direct materials $0.57 per unit Direct labor $0.83 per unit Variable overhead $26,660 in total Fixed overhead ? in total If the companys cost per unit of finished goods using variable costing is $2.02, what is the amount of total fixed overhead? A. $26,660 B. $35,690 C. $24,510 D. Some other amount E. Cannot be determined from the given data.

Q: Magenta Inc. reports the following information for the current year which is its first year of operations: Units produced this year 750,000 units Units sold this year 740,000 units Direct materials $18.30 per unit Direct labor $14.20 per unit Variable overhead ? in total Fixed overhead $4,500,000 in total If the companys cost per unit of finished goods using absorption costing is $39.75, what is total variable overhead? A. $925,000 B. $877,500 C. $937,500. D. $865,800 E. $5,437,500

Q: A company reports the following information for its first year of operations: Units produced this year 650 units Units sold this year 500 units Direct materials $750 per unit Direct labor $1,000 per unit Variable overhead ? in total Fixed overhead $308,750 in total If the companys cost per unit of finished goods using variable costing is $2,375, what is total variable overhead? A. $237,500 B. $75,000 C. $312,500 D. $406,250 E. $97,500

Q: Gage Company reports the following information for its first year of operations: Units produced this year 7,000 units Units sold this year 6,500 units Direct materials $22 per unit Direct labor $30 per unit Variable overhead ? in total Fixed overhead $56,000 in total If the companys cost per unit of finished goods using variable costing is $63, what is total variable overhead? A. $21,000 B. $71,500 C. $77,000 D. $19,500 E. $16,590

Q: Cloudy Company reports the following information for the current year: Units produced this year 51,000 units Units sold this year 53,000 units Direct materials $6 per unit Direct labor $3 per unit Variable overhead $255,000 in total Fixed overhead ? in total If the companys cost per unit of finished goods using absorption costing is $18, what is total fixed overhead? A. $204,000 B. $212,000 C. $213,690 D. $222,070 E. $459,000

Q: Clear Company reports the following information for its first year of operations: Units produced this year 50,000 units Units sold this year 49,000 units Direct materials $7 per unit Direct labor $3 per unit Variable overhead $210,000 in total Fixed overhead ? in total If the companys cost per unit of finished goods using absorption costing is $19.30, what is total fixed overhead? A. $350,000 B. $255,000 C. $150,000 D. $249,900 E. $147,000

Q: Given Advanced Companys data, and the knowledge that the product is sold for $50 per unit and operating expenses are $200,000, compute the net income under variable costing. A. $55,000 B. $67,500 C. $80,500 D. $122,500 E. $205,000

Q: Given Advanced Companys data, and the knowledge that the product is sold for $50 per unit and operating expenses are $200,000, compute the net income under absorption costing. A. $55,000 B. $67,500 C. $80,500 D. $122,500 E. $205,000

Q: Given Advanced Companys data, compute cost of finished goods in inventory under variable costing. A. $285,000 B. $712,500 C. $427,500 D. $230,000 E. $345,000

Q: Given Advanced Companys data, compute cost of finished goods in inventory under absorption costing. A. $285,000 B. $712,500 C. $427,500 D. $230,000 E. $345,000

Q: Given Advanced Companys data, compute cost per unit of finished goods under absorption costing. A. $20.00 B. $34.17 C. $25.32 D. $23.00 E. $28.50

Q: Given Advanced Companys data, compute cost per unit of finished goods under variable costing. A. $20.00 B. $25.00 C. $21.88 D. $23.00 E. $28.50

Q: Sea Company reports the following information regarding its production cost: Units produced 42,000 units Direct labor $35 per unit Direct materials $28 per unit Variable overhead $17 per unit Fixed overhead $105,000 in total Compute production cost per unit under absorption costing. A. $28.00 B. $82.50 C. $80.00 D. $63.00 E. $35.00

Q: Shore Company reports the following information regarding its production cost: Units produced 28,000 units Direct labor $23 per unit Direct materials $24 per unit Variable overhead $280,000 per unit Fixed overhead $94,920 in total Compute production cost per unit under variable costing. A. $57.00 B. $60.39 C. $47.00 D. $23.00 E. $24.00

Q: Assume a company sells a given product for $12 per unit. How many units must be sold to break even if variable selling costs are $0.50 per unit, variable production costs are $3.50 per unit, and total fixed costs are $4,500,000? A. 391,305 units. B. 562,500 units. C. 529,412 units. D. 281,250 units. E. 375,000 units.

Q: Assume a company sells a given product for $90 per unit. How many units must be sold to break even if variable selling costs are $2 per unit, variable production costs are $31 per unit, and total fixed costs are $1,799,946? A. 31,578 units. B. 19,995 units. C. 20,454 units. D. 14,634 units. E. 899,973 units.

Q: Assume a company sells a given product for $75 per unit. How many units must be sold to break-even if variable selling costs are $12 per unit, variable production costs are $23 per unit, and total fixed costs are $700,000? A. 11,112 units. B. 13,462 units. C. 9,334 units. D. 17,500 units. E. 6,363 units.

Q: Which of the following best describes costs assigned to the product under the variable costing method? Direct labor (DL) Direct materials (DM) Variable selling and administrative Variable manufacturing overhead Fixed selling and administrative Fixed manufacturing overhead A. DL, DM, variable selling and administrative costs, and variable manufacturing overhead. B. DL, DM, and variable manufacturing overhead. C. DL, DM, variable manufacturing overhead, and fixed manufacturing overhead. D. DL and DM. E. DL, DM, fixed selling and administrative, and fixed manufacturing overhead.

Q: Which of the following best describes costs assigned to the product under the absorption costing method? Direct labor (DL) Direct materials (DM) Variable selling and administrative Variable manufacturing overhead Fixed selling and administrative Fixed manufacturing overhead A. DL, DM, variable selling and administrative costs, and variable manufacturing overhead. B. DL, DM, and variable manufacturing overhead. C. DL, DM, variable manufacturing overhead, and fixed manufacturing overhead. D. DL and DM. E. DL, DM, fixed selling and administrative, and fixed manufacturing overhead.

Q: A company is currently operating at 75% capacity and producing 3,000 units. Current cost information relating to this production is shown in the table below: Per Unit Sales price $43 Direct material $7 Direct labor $6 Variable overhead $4 Fixed overhead $4 The company has been approached by a customer with a request for a 200-unit special. What is the minimum per unit sales price that management would accept for this order if the company wishes to increase current profits? A. Any amount over $43 per unit. B. Any amount over $17 per unit. C. Any amount over $21 per unit. D. Any amount over $13 per unit. E. Any amount over $22 per unit.

Q: A company is currently operating at 80% capacity producing 5,000 units. Current cost information relating to this production is shown in the table below: Per Unit Sales price $34 Direct material $2 Direct labor $3 Variable overhead $4 Fixed overhead $5 The company has been approached by a customer with a request for a 100-unit special order. What is the minimum per unit sales price that management would accept for this order if the company wishes to increase current profits? A. Any amount over $34 per unit. B. Any amount over $20 per unit. C. Any amount over $14 per unit. D. Any amount over $9 per unit. E. Any amount over $5 per unit.

Q: When evaluating a special order, management should: A. Only accept the order if the incremental revenue exceeds all product costs. B. Only accept the order if the incremental revenue exceeds fixed product costs. C. Only accept the order if the incremental revenue exceeds total variable product costs. D. Only accept the order if the incremental revenue exceeds full absorption product costs. E. Only accept the order if the incremental revenue exceeds regular sales revenue.

Q: Under absorption costing, which of the following statements is not true? A. Over production and inventory buildup can occur because of how managers are evaluated and rewarded. B. The fixed costs per unit decline as more units are produced. C. Variable inventory costs are treated in the same manner as they are under variable costing. D. Fixed inventory costs are treated in the same manner as they are under variable costing. E. All manufacturing costs are assigned to products.

Q: Which of the following statements is true? A. A per unit cost that is constant at all production levels is a variable cost per unit. B. Reported income under variable costing is affected by production level changes. C. A per unit cost that is constant at all production levels is a fixed cost per unit. D. Reported income under absorption costing is not affected by production level changes. E. A cost that is constant over all levels of production is a variable cost.

Q: Which of the following statements is true? A. Variable costing treats fixed overhead as a period cost. B. Absorption costing treats fixed overhead as a period cost. C. Absorption costing treats fixed overhead as an expense in the period it is incurred. D. Variable costing excludes all overhead from product costs. E. Managers can manipulate earnings more easily under variable costing by varying the production level.

Q: The ratio of the volumes of the various products sold by a company is called the ______________________________.

Q: A graphic presentation of cost-volume-profit data is known as a __________________ graph (or chart); this presentation is also sometimes called a ______________ chart.

Q: The ______________________ is the sales level at which a company neither earns a profit nor incurs a loss.

Q: ___________________________ is a statistical method of identifying an estimated line of cost behavior.

Q: When using the high-low method for estimating cost behavior, the slope, or variable cost per sales dollar, is calculated by ___________________________________.

Q: One aid in measuring cost behavior involves creating a display of the data about past costs in graphical form. Such a visual display is called a ______________________.

Q: What-if analysis of cost, revenue, and volume changes is called _______________________. Further analysis of this nature may be achieved by measuring the degree of ______________________.