Which of the following statements is true? Multiple Choice Contribution margin - fixed expenses net operating income O Contribution margin + net operating income = sales О Sales contribution margin = net operating income О Sales + variable expenses = contribution margin Saved

Which of the following statements is true? Multiple Choice Contribution margin - fixed expenses net operating income O Contribution margin + net operating income = sales О Sales contribution margin = net operating income О Sales + variable expenses = contribution margin Saved

Principles of Accounting Volume 2

19th Edition

ISBN:9781947172609

Author:OpenStax

Publisher:OpenStax

Chapter3: Cost-volume-profit Analysis

Section: Chapter Questions

Problem 1MC: The amount of a units sales price that helps to cover fixed expenses is its ____________________. A....

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Which of the following statements is true?
Multiple Choice
Contribution margin - fixed expenses net operating income
O
Contribution margin + net operating income = sales
О
Sales contribution margin = net operating income
О
Sales + variable expenses = contribution margin
Saved

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Which of the following does not represent a cost -volume -profit analysis equation a. Sales = totale expenses + profit b. Sales + fixed expenses profit = contribi argin + sales c. Profit = contrib contribution margin - fixed expenses d. Contribution margin- fixed expenses - profit 0 e. Sales - fixed expenses - variable expenses ses = 0
All of the following represents a cost-volume-profit relationship except: O a. Total contribution margin + variable expenses = variable expenses + fixed expenses+ profit O b. Sales - total expenses + profit O. Sales - variable expenses - profit = fixed expenses O d. Sales - Variable expenses - fixed expenses - profit O e. Profit = total contribution margin - fixed expenses
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In the cost-volume- profit graph (above), what is represented by the point marked "B"? Question 2 options: Breakeven point Fixed expenses Operating income area Operating loss area
All of the following represents a cost-volume- profit relationship except: a. Total contribution margin + variable expenses = variable expenses + fixed expenses + profit b. Sales = totalexpenses + profit C. Sales - Variable expenses enses = fixedexpel expenses - profit d. Sales - variable expenses - profit = fixed expenses e Profit = totalcontril contribution margin - expenses
All of the following represents a cost-volume-profit relationship except: a. Total contribution margin + variable xpenses = variable expenses + fixed expenses profit b. Sales = totalexpe expenses + profit O cSales - variable senses + profit = fied expenses O d. Profit = totalcontri contribution margin- fixed expenses O e Sales - Variable expenses = fixed expenses + profit
All of the following represents a cost -volume -profit relationship except : a. Profit = totalcon contribution margin - fixed expenses b. Sales = totalexpenses + profit c. Sales - Variable expenses = fixed expenses - profit d. Sales - variable expenses - profit = fixed expenses e. Total contribution margin + variable expenses = variable expenses + fixed expenses + profit
Which of the following does not represent a cost-volume-profit analysis equation? O a. Contribution margin - fixed expenses-profit = 0 b. Profit = contribution margin + fixed expenses Sales + fixed expensas + profit = contribution margin + sales O d. Sales = total expenses + profit O e. Sales - fixed expenses - variable expenses = 0 %D CLEAR MY CHOICE AGE
?Which of the following does not represent a cost-volume-profit analysis equation Sales + fixed expenses + profit = contribution margin + sales .a O Contribution margin - fixed expenses - profit = 0.b O Sales - fixed expenses - variable expenses = 0 .c O Profit = contribution margin + fixed expenses d O Sales = total expenses + profit .e O
In the cost-volume- profit graph (above), what is represented by the point marked "D"? Question 3 options: Operating loss area Operating income area Breakeven point Fixed expenses
What ratio indicates the percentage of each sales dollar that is available to cover fixed costs and to provide a profit? A. Margin of safety ratioB. Contribution margin ratioC. Costs and expenses ratioD. Profit ratio
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