kahoot questions Flashcards
If there are no sales this period, what would net operating income be?
Increase in amount of unsold merchandise * variable cost
Loss in the amount of unsold merchandise variable costs
A loss in amounts of fixed costs
$0 net operating income
A loss in amount of fixed costs
Selling and administrative expenses are…
expensed as incurred and treated as period costs
expensed when paid and treated as period costs
expensed as incurred and treated as product costs
expensed when paid and treated as product costs
expensed as incurred and treated as period costs
The segment’s contribution margin - traceable fixed costs of a segment = ??
Segment margin
The “P” in “CVP Analysis” stands for…cost volume profit
Profit
The “P” in “CVP Analysis” stands for…cost volume profit
Profit
The principal purpose of the cash budget is to…
provide info on probable cash needs during the budget period
Which metric tells us how sensitive NOI is to percentage changes in sales?
Operating leverage
3 Advantages of budgets
Sets benchmark’s for evaluating subsequent future performance
Forces managers to think about and plan for the future
Better allocation of resources
