1. Which of the following five types of products is least likely to be produced in a process manufacturing system?
Select one: a. Compact disks. b. Slacks for casual wear. c. Baseball hats. d. Calculators. e. Oil paintings.
2. A special order of goods or services should always be accepted when the incremental revenue exceeds the normal revenue.
Select one:
TrueFalse
3. Based on predicted production of 12,000 units, a company anticipates $150,000 of fixed costs and $123,000 of variable costs. The flexible budget amounts of fixed and variable costs for 10,000 units are:
Select one: a. $125,000 fixed and $102,500 variable. b. $125,000 fixed and $123,000 variable. c. $102,500 fixed and $150,000 variable. d. $150,000 fixed and $123,000 variable. e. $150,000 fixed and $102,500 variable.
4. The contribution margin per unit is the price at which a unit must be sold in order for the company to break even.
Select one:
TrueFalse