Reference no: EM132611991
Problem 1: Costs that remain constant in total dollar amount as the level of activity changes are called:
a. variable costs.
b. fixed costs.
c. mixed costs.
d. product costs.
Problem 2: Which of the following is most associated with financial accounting?
a. can be prepared periodically, or as needed
b. can have both objective and subjective information
c. prepared in accordance with GAAP
d. can be prepared for the entity or segment
Problem 3: Which of the following is most associated with managerial accounting?
Group of answer choices
a. is prepared for users outside the organization
b. may rely on estimates and forecasts
c. must follow GAAP
d. always reports on the entire entity
Problem 4: Managerial accounting reports are:
Group of answer choices
a. related to the entire business entity only.
b. prepared periodically only.
c. prepared according to management needs.
d. prepared according to GAAP.
Problem 5: If fixed costs are $400,000 and the unit contribution margin is $20, what amount of units must be sold in order to have a zero profit?
Group of answer choices
a. 20,000 units
b. 10,000 units
c. 25,000 units
d. 400,000 units