Net operating income is calculated as

a) Gross margin less operating expenses. b) Revenues less all variable costs. c) Revenues less all manufacturing costs.

d)Revenues less cost of goods sold. e) Revenues less all direct costs.

A manager is developing a production schedule for the next quarter. How would this activity be classified in the Planning and Control cycle?

a)Decision making b)Directing and motivating c) Controlling d)Planning

The three (3) types of financial decisions that managers make are

a)operating, investing, and divesting decisions.

b) Financial, managerial, and operational decisions.

c) Capital, budgetary, and strategic decisions.

d) Operating, financing, and investing decisions.

e) planning, implementing, and controlling decisions.

Financial statement analysis which involves expressing each line item on the financial report as a percentage (%) of the total value listed on the same financial report is described as

a) horizontal analysis

b) budgeting

c) common size analysis

d) variance analysis

e) ratio analysis

Which of the following inventory accounts does not appear on the balance sheet for a manufacturing company?

a) Finished goods inventory

b) Finished goods inventory

c) Merchandise inventory

d) Work in process inventory

For a manufacturing company, which of the following is an example of aproductcost?

a) Shipping expense.

b) Sales commissions.

c) Advertising

d) Wages of warehouse employees

e) None of these

In 2019, Xme Inc. reported the following results: Sales revenue = $3,500,000, Cost of goods sold = $1,575,000, Total operating expenses = $840,000, Interest expense = $25,000, and the tax rate = $20%. The company's Net Income = __________________

Question 14 options:

a) $873,000.

b) $848,000.

c) $868,000.

d) $1,540,000.

e) $1,085,000.

Which of the following statements regarding costs is true?

a)Fixed costs per unit are constant.

b)Period costs are reported on the balance sheet.

c)An indirect cost is a cost which can't be easily and economically traced to a cost object.

d)A variable cost per unit changes as the volume or activity level changes.

e) Sunk costs, differential costs, and opportunity costs are relevant costs in decision making.