“The production-volume variance should always be written off to Cost of Goods Sold.” Do you agree? Explain.

TRUE/FALSE. Write T' if the statement is true and 'F' if the statement is false. 17) Target costing sets prices by computing an average cost and then adding a desired markup.

Which of the following is a correct definition of the margin of safety? The excess of contribution margin over fixed costs The excess of gross margin over target income 0 The excess of sales revenue over the breakeven point The excess of ner income over all costs (both variable and fixed

What are some possible reasons for a material price variance?

Define the term break-even point. What is the variable cost ratio? The contribution margin ratio? How are the two ratios related? Define the term sales mix. Give an example to support your definition.

Hi,   How do you calculated variable production cost per unit?

Which of the following describes the behavior of total variable and total fixed costs when level of production increases?

Profitability changes may be simply calculated by using what kind of tool: sales price/volume/variable costs/fixed costs.

(Variable cost = Total cost - Fixed cost - Net profit) you have not consider the net profit in the calculation. I think it should be added right ?

Which of the following statements is FALSE? a. There is a cause-and-effect relationship between the cost driver and the amount of cost. b. Over the long run all costs have cost drivers. c. Volume of production is a cost driver of direct manufacturing costs. d. Fixed costs have cost drivers over the short run.