Break Even Point MCQs with Answers PDF Download – Test 158

MCQ 786: If the contribution margin per unit is $700 per unit and the break-even per unit is $40, then the fixed cost would be:

1. $35,000
2. $28,000
3. $17,500
4. $82,000

MCQ 787: The master budget includes all the projections of company's budget and focuses on:

1. serial correlation
2. marketing plan
3. financial plan
4. both B and C

MCQ 788: A company must eliminate all those activities that do not add value to all the products or services in planning of:

1. variable overhead cost
2. fixed overhead cost
3. fixed batch cost
4. variable batch cost

MCQ 789: An inventory which consists of stock waiting to be used In the process of manufacturing is known as:

1. finished goods inventory
2. indirect material inventory
3. direct materials inventory
4. work in process inventory

MCQ 790: If the percentage of overall gross margin is 15 and the final sales value of whole production is $20000, then the gross margin (in dollars) will be:

1. $30,000
2. $300,000
3. $40,000
4. $400,000