Customer Revenues and Costs Notes Questions with Answers PDF Download – Test 183

MCQ 911: In customer cost hierarchy, the costs of all the incurred activities to sell a unit of product are classified as:

1. customer sustaining costs
2. customer output unit-level costs
3. customer batch-level costs
4. corporate sustaining costs

MCQ 912: In incremental cost allocation method, the cost object user who is ranked second in ranking order is known as:

1. First incremental user
2. primary user
3. secondary user
4. second incremental user

MCQ 913: The fundamental redesigning and rethinking of business processes to improve critical measures such as quality, speed, cost and customer satisfaction are called:

1. reengineering
2. differentiation
3. bargaining
4. targeting

MCQ 914: 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

MCQ 915: 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