ACCT 2302 Student Questions #2 Flashcards
1
Q
Which of the following incurs costs and expenses but also generates revenues and makes decisions regarding assets available for the company.
A) investment center
B) cost center
C) control center
D) profit center
A
A) investment center
2
Q
Which of the following is the formula for material quantity variance?
SP (AQ - SQ)
AH (AR - SR)
AQ (QP - SP)
SR (AH – SH)
A
SP (AQ - SQ)
3
Q
A company is using the indirect method for the statement of cash flow, what would be the first financial statement line item?
net income
contribution margin
fixed expense
revenue
A
net income
4
Q
Which of the following is not a flaw of the ROI metric?
a. May not know how to increases ROI correctly
b. Committed costs
A
