Session 1 Flashcards
1
Q
manufacturing overhead
A
indirect costs
2
Q
prime costs
A
direct costs
3
Q
conversion cost
A
manufacturing overhead + direct labour
4
Q
contribution margin
A
price - VC
5
Q
break even units
A
(fixed costs)/ contribution per unit
6
Q
break even sales
A
fixed costs/ contribution/sales ratio
7
Q
margin of safety (dollars)
A
total budgeted or actual - break even sales
8
Q
margin of safety (%)
A
margin of safety ($) / total budgeted or actual
9
Q
target profit
A
(fc + profit) /contribution/unit
