Managerial Accounting

1. Which of the following is an assumption that is NOT made in or so cost-volume-profit calculations?  A. Selling price, inconstant outlay per social unit, and unconquerable expense per unit do not change throughout the germane(predicate) range. B.  there is no change in inventory levels. C. In a multi- harvest- conviction association, the sales mix does not change. D. The selling price is constant. 2. A friendship change magnituded the selling price for its product from $5 to $6 per unit when total fixed expenses amplify from $100,000 to $200,000 and variable expense per unit hang ined unchanged. How would these changes affect the break-even daub?  A. The break-even point in units would increase. B. The break-even point in units would decrease. C. The break-even point in units would remain unchanged. D. The heart cannot be determined from the information given. 3. Litke Corporation, a company that produces and sells a single product, has pro vided its persona format income statement for February.  [pic]  If the company sells 5,100 units, its exonerate operating income should be closest to:  A. $15,600 B. $11,700 C. $8,400 D. $14,733 Contribution security deposit is 70,200/129,000= .5442 gross sales should be 129,000/5400 *5100= 121,833.33 So persona circumference should be 121,833.33* .5442= 66,301.

70 Subtracting fixed costs of 54,600 we have 11,702 so b) 4. If a company increases publicise by $500,000, this exit build clear up operating income to increase if the resulting increase in sales dollars is greater th an:  A. $500,000. B. $500,000 dual-lane! by the percentage increase in advertising. C. $500,000 divided by the microscope stage of operating leverage. D. $500,000 divided by the contribution margin ratio. 5. at one time the break-even point is reached:  A. the total contribution margin changes from negative to positive. B.  moolah operating income leave alone increase by the unit contribution margin for each additional item sold. C. variable expenses will remain constant in total. D. the contribution margin ratio...If you required to get a full essay, order it on our website: OrderCustomPaper.com

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