Break Even Point MCQs with Answers PDF Download – Test 158

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

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

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

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

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