1.All other things the same, if long-term debt is exchanged for short-term debt, the debt-to-equity ratio will be unchanged.

True False

2.If demand is insufficient to keep everyone busy and workers are not laid off, an unfavorable (U) variable overhead efficiency variance often will be a result unless managers build excessive inventories.

True False

3.A revenue variance is unfavorable if the revenue in the static planning budget is less than the revenue in the flexible budget.

True False

4.When computing the break even for a segment, the calculations include the companys common fixed expenses.

True False