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MCQs

Total Questions : 107 | Page 6 of 11 pages
Question 51. The capacity of the operations in company, which does not consider shutdown periods and interruptions, in operations is considered as
  1.    normal capacity
  2.    theoretical costing
  3.    standard capacity
  4.    actual capacity
 Discuss Question
Answer: Option B. -> theoretical costing
Answer: (b).theoretical costing
Question 52. The cost which is excluded from inventoriable costs in variable costing method is called
  1.    variable factory overheads
  2.    fixed manufacturing cost
  3.    variable manufacturing costs
  4.    fixed factory overheads
 Discuss Question
Answer: Option B. -> fixed manufacturing cost
Answer: (b).fixed manufacturing cost
Question 53. If the change in variable costing in operating income is $9000 and contribution margin per unit is $6000, then change in sold units would be
  1.    $2.5 per unit
  2.    $1.5 per unit
  3.    $3.5 per unit
  4.    $5.5 per unit
 Discuss Question
Answer: Option B. -> $1.5 per unit
Answer: (b).$1.5 per unit
Question 54. If the selling price is $2500, variable manufacturing cost per unit is $1000 and variable marketing cost per unit is $500, then contribution margin per unit will be
  1.    $4,000
  2.    $2,500
  3.    $1,000
  4.    $15,000
 Discuss Question
Answer: Option C. -> $1,000
Answer: (c).$1,000
Question 55. If the contribution margin per unit is $7500, selling price is $1300 and variable manufacturing cost per unit is $1700, then per unit cost of marketing would be
  1.    $4,500
  2.    $5,500
  3.    $6,500
  4.    $7,500
 Discuss Question
Answer: Option A. -> $4,500
Answer: (a).$4,500
Question 56. If the per unit budget per unit cost is $200 and budgeted production units are 350, then fixed budgeted manufacturing costs will be
  1.    $40,000
  2.    $60,000
  3.    $70,000
  4.    $50,000
 Discuss Question
Answer: Option C. -> $70,000
Answer: (c).$70,000
Question 57. If the budgeted fixed cost is $48000 and per unit budgeted denominator level is 1200 units, then budgeted fixed cost would be
  1.    $50
  2.    $45
  3.    $55
  4.    $40
 Discuss Question
Answer: Option D. -> $40
Answer: (d).$40
Question 58. If target operating income is $38000, contribution margin per unit is $400, then the number of units must be sold to earn targeted operating income will be
  1.    65 units
  2.    75 units
  3.    95 units
  4.    85 units
 Discuss Question
Answer: Option C. -> 95 units
Answer: (c).95 units
Question 59. The managers using capacity planning do not make
  1.    pricing decisions
  2.    marketing decisions
  3.    financial decisions
  4.    cost budgeting decisions
 Discuss Question
Answer: Option A. -> pricing decisions
Answer: (a).pricing decisions
Question 60. If the contribution margin per unit is $5000, the selling price is $1500 and the variable manufacturing cost per unit is $1200, then per unit cost of marketing will be
  1.    $4,200
  2.    $2,300
  3.    $7,700
  4.    $6,700
 Discuss Question
Answer: Option B. -> $2,300
Answer: (b).$2,300

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