1. Which of the following is a disadvantage of the Variable Costing method? A The data...
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1. Which of the following is a disadvantage of the Variable Costing method? A The data available does not easily relate to CVP)Cost-volume-profit applications. The data is not applicable to short-term decision-making situations. C. Much time and effort must be expended to allocate fed costs to various segments D. It cannot be used for external reporting purposes E. All of the above are disadvantages of variable costing 2.x Corp. has 3 sales regions: West, Midwest and East. Which of the following is an example of a Direct (Traceable) Fland Cost when segments are defined by sales region? A Salaries paid to sales employees in each region & The salary of the corporate president. C Depreciation on the corporate office facility. D. Rental cost for the factory facility. E. Advertising to promote a positive corporate image 3. X Corp. is planning to sell 200K units of product Z at $20 per unit. This product has a 25% CM ratio, Assume the company expects to break-even at this level of sales. What is the amount of fixed cost involved? Show all Calculations. Contribution margin = = (25% × 20) (25% xSelling VUINE $5 per unit At breakeson, whits sold = fixed losts://canl bu 4. Y Corp. sells product A for $60 per unit. Variable costs are $40 per unit and fixed costs are $200K. Compute the sales revenue needed in both units and dollars) to generate NOI of $40K. 1. Which of the following is a disadvantage of the Variable Costing method? A The data available does not easily relate to CVP)Cost-volume-profit applications. The data is not applicable to short-term decision-making situations. C. Much time and effort must be expended to allocate fed costs to various segments D. It cannot be used for external reporting purposes E. All of the above are disadvantages of variable costing 2.x Corp. has 3 sales regions: West, Midwest and East. Which of the following is an example of a Direct (Traceable) Fland Cost when segments are defined by sales region? A Salaries paid to sales employees in each region & The salary of the corporate president. C Depreciation on the corporate office facility. D. Rental cost for the factory facility. E. Advertising to promote a positive corporate image 3. X Corp. is planning to sell 200K units of product Z at $20 per unit. This product has a 25% CM ratio, Assume the company expects to break-even at this level of sales. What is the amount of fixed cost involved? Show all Calculations. Contribution margin = = (25% × 20) (25% xSelling VUINE $5 per unit At breakeson, whits sold = fixed losts://canl bu 4. Y Corp. sells product A for $60 per unit. Variable costs are $40 per unit and fixed costs are $200K. Compute the sales revenue needed in both units and dollars) to generate NOI of $40K.
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1 From the following options the disadvantages of variable costing method is that this method requir... View the full answer
Related Book For
Accounting concepts and applications
ISBN: 978-0538745482
11th Edition
Authors: Albrecht Stice, Stice Swain
Posted Date:
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