Day 28

Question 1

Equation: Sales Volume Variance

Answer 1

= (Actual Sold Units - Budget Sold Units) × Standard Contribution Margin Per Unit

Standard Contribution Margin Per Unit = Contribution Margin ÷ Budget Units

MCQ-04142

Question 2

Describe Direct Labor?

Answer 2

Is a Prime Cost, Conversation Cost and a Production Cost

MCQ-03915

Question 3

Under Title VIII of SOX, what are Whistle Blowers entitled to?

Answer 3

1. Compensation for any special damages
2. Reinstatement with equivalent seniority status to what they left with
3. Back pay with interest

MCQ-00256

Question 4

Define: Process Costing

Answer 4

Is a method of allocating production costs to products and services by averaging the cost over the total units produced.

Costs are accumulated by the department NOT by job

MCQ-03936

Question 5

Period Costs under Absorption method:

Answer 5

1. Variable and Fixed SG&A

MCQ-07735

Question 6

Period Costs under Variable Method:

Answer 6

1. Variable and Fixed SG&A
2. Fixed Overhead

MCQ-07735

Question 7

What network device assigns IP addresses?

Answer 7

Router

MCQ-14577

Question 8

Rates used in Net Present Value formula:

Answer 8

• Cost of Capital
• Hurdle Rate
• Discount Rate
• Required Rate of Return

MCQ-03769

Question 9

Define: Profitability Index

Answer 9

The ratio of the present value of net future cash inflows to the present value of net initial investment.

Requires detailed long term forecasts of projects cash flows

MCQ-06982

Question 10

What happens to price and quantity when product demand increases and product supply decreases?

Answer 10

Increase price & quantity uncertain

MCQ-08545