Which one of the following is an assumption that underlies cost-volume-profit analysis? 1. For costs classified as
Question:
1. For costs classified as variable, the costs per unit of output must change constantly.
2. For costs classified as fixed, the costs per unit of output must remain constant.
3. All costs have approximately the same relevant range.
4. The selling price per unit must change in proportion to the number of units sold.
Fantastic news! We've Found the answer you've been seeking!
Step by Step Answer:
Answer rating: 69% (13 reviews)
Correct true an...View the full answer
Answered By
Anjali Arora
Having the experience of 16 years in providing the best solutions with a proven track record of technical contribution and appreciated for leadership in enhancing team productivity, deliverable quality, and customer satisfaction. Expertise in providing the solution in Computer Science, Management, Accounting, English, Statistics, and Maths.
Also, do website designing and Programming.
Having 7 yrs of Project Management experience.
100% satisfactory answers.
5.00+
3+ Reviews
10+ Question Solved
Related Book For
Question Posted:
Students also viewed these Managerial Accounting questions
-
Which one of the following is not a primary reason companies invest in other companies? a To earn return on excess cash b. To eliminate risk in other investments c. To gain influence over another...
-
Which one of the following is correct? a. Short-run planning includes capital budgeting and operational budgeting. b. Long-run planning includes production and process prioritizing. c. Long-run...
-
Which one of the following is the proper dollar value of defender equipment to use in replacement analysis? (a) Original cost. (b) Present market value. (c) Present trade-in value. (d) Present book...
-
A 0.831-g sample of SO3 is placed in a 1.00-L container and heated to 1100 K. The SO3 decomposes to SO2 and O2: At equilibrium the total pressure in the container is 1.300 atm. Find the values of Kp...
-
Secord Limited has two classes of shares outstanding: preferred ($6 dividend) and common. At December 31, 2013, the following accounts and balances were included in shareholders' equity: Preferred...
-
The market portfolio has an expected return of 10.7 percent and a standard deviation of 19 percent. The risk-free rate is 3.2 percent. a. What is the expected return on a well-diversified portfolio...
-
Prepare an income statement and a balance sheet for Lippo Group from the following scrambled list of items. What is the firms net working capital and debt ratio? In addition, the firm has 12,000...
-
Data for Schmidt Company is presented in the following table of rates of return on investment and residual incomes: Determine the missing items, identifying each item by the appropriateletter. Income...
-
10.Carp Co has announced that it will pay an annual dividend equal to 55% of earnings. Its earnings per share is $0.80, and it has ten million shares in issue. The return on equity of Carp Co is 20%...
-
While James Craig and his former classmate Paul Dolittle both studied accounting at school, they ended up pursuing careers in professional cake decorating. Their company, Good to Eat (GTE),...
-
Refer to QS 5-6. Assume that BSD Phone Co. is subject to a 30% income tax rate. Compute the units of product that must be sold to earn after-tax income of $252,000.
-
A high proportion of Company As total costs are variable with respect to units sold; a high proportion of Company Bs total costs are fixed with respect to units sold. Which company is likely to have...
-
Spade Co. is considering either FIFO or LIFO. Determine which method results in the lowest income tax expense in the current year when (a) Inventory costs are rising and (b) Inventory costs are...
-
A - Put option price: How much do you expect the put option to cost? Use the data above and the following information: the option is for 1 year, the current riskfree borrowing rate is 5% per year,...
-
Charlevoix Cases makes mobile phone cases. The company has collected the following price and cost characteristics: Sales price Variable costs Fixed costs $ 12.00 per case 5.50 per case 395,200 per...
-
Sam and Jan's insurer requires advisors to be mutual fund licenced to sell segregated funds. Sam just received his mutual fund licence and Jan has had hers for about a year. They often help each...
-
A 15 kg fish moving at 4 m/s eats a 5kg fish traveling oppositely at a speed that will stop the fish after it is swallowed. How fast was the little fish moving to cause the stop?
-
When a tiger drinks water, it makes portion of water oscillating up and down two complete cycles per second. As the water wave spreads, the wavelength is 5 cm. What is the wave's speed?
-
a. Elaine is twenty years old, and Philip, a bachelor, is seventy-five. Philip asks Elaine to marry him. Philip has terminal cancer and wants to die a married man. He and Elaine know that he probably...
-
Swifty company is a publicly held corporation whose $1 par value stock is actively traded at $30 per share. The company issued 3400 shares of stock to acquire land recently advertised at $93000. When...
-
Carry out the integration details to develop the displacements (5.7.4) in Example 5.1. Equation 5.7.4 Data from example 5.1 As an example of a simple direct integration problem, consider the case of...
-
While reviewing the March 31, 2020, balance sheet of Business Solutions, Santana Rey notes that the business has built a large cash balance of $68,057. Its most recent bank money market statement...
-
Use Apples financial statements in Appendix A to answer the following. 1. Compute Apples return on total assets for the years ended September 30, 2017 and September 24, 2016. 2. Is the change in...
-
Key figures for Apple and Google follow. Required 1. Compute return on total assets for Apple and Google for the two most recent years. 2. Which of these two companies has the better return on total...
-
Answer each part by using well-labelled graphs for the IS-LM, WS-PS and AS-AD models: a) Assume that Australian government has made it very difficult for refugees (who are prepared to work at lower...
-
for OPEC to act in line with the "multiplant monopoly - joint profit maximizing ideal" what are the basic changes OPEC needs to make and the factors that prevent it?
-
Fiscal policy deals with the government's spending and taxation practices. The changes in fiscal policy affect households and firms (companies) in the economy. Monetary Policy refers to the actions...
Study smarter with the SolutionInn App