Podcast
Questions and Answers
Which of the following is an example of an indirect manufacturing cost?
Which of the following is an example of an indirect manufacturing cost?
- Supplies
- Plant rent (correct)
- Power
- Direct labor compensation
What term is used to describe costs that can be saved by not adopting a given alternative?
What term is used to describe costs that can be saved by not adopting a given alternative?
- Avoidable costs (correct)
- Plant depreciation
- Sunk costs
- Direct labor costs
Which of the following best describes relevant costs for decision-making?
Which of the following best describes relevant costs for decision-making?
- Future costs and revenues that will be impacted by a decision (correct)
- Future costs and revenues that will not be changed by a decision
- Sunk costs that can be avoided
- Costs of resources already acquired
What are avoidable and unavoidable costs also known as?
What are avoidable and unavoidable costs also known as?
Which of the following is an example of a direct manufacturing labor cost?
Which of the following is an example of a direct manufacturing labor cost?
What do sunk costs represent?
What do sunk costs represent?
What happens to the fixed cost per unit as the activity level goes up?
What happens to the fixed cost per unit as the activity level goes up?
In the short term, what is the nature of some costs?
In the short term, what is the nature of some costs?
Which type of cost is all cost in the income statement other than cost of goods sold considered as?
Which type of cost is all cost in the income statement other than cost of goods sold considered as?
What do period costs represent according to the text?
What do period costs represent according to the text?
What are direct materials costs according to the text?
What are direct materials costs according to the text?
In what time period does the classification of costs state that all costs are variable?
In what time period does the classification of costs state that all costs are variable?
What is the relationship between sales and operating income according to the text?
What is the relationship between sales and operating income according to the text?
How does a higher value of operating leverage affect profits?
How does a higher value of operating leverage affect profits?
Why do managers examine 'what-if' possibilities and alternatives?
Why do managers examine 'what-if' possibilities and alternatives?
How do managers make better decisions according to the text?
How do managers make better decisions according to the text?
Which factor affects the level of operating leverage each firm chooses?
Which factor affects the level of operating leverage each firm chooses?
What do Procter & Gamble managers wonder about when considering expanding into a foreign market?
What do Procter & Gamble managers wonder about when considering expanding into a foreign market?
What was the design of the stage used by U2 during their recent world tour?
What was the design of the stage used by U2 during their recent world tour?
What stage configuration did the tour employ to maximize revenue?
What stage configuration did the tour employ to maximize revenue?
What did Rolling Stone magazine refer to U2's recent world tour as?
What did Rolling Stone magazine refer to U2's recent world tour as?
How did U2's ticket pricing strategy differ from other large outdoor concerts?
How did U2's ticket pricing strategy differ from other large outdoor concerts?
What led to companies like US Airways and Global Crossing declaring bankruptcy?
What led to companies like US Airways and Global Crossing declaring bankruptcy?
Why did U2 have three separate stages for their global itinerary during the tour?
Why did U2 have three separate stages for their global itinerary during the tour?
What was the approximate cost of each stage used by U2 during their world tour?
What was the approximate cost of each stage used by U2 during their world tour?
What assumption is required for multi-product CVP analysis?
What assumption is required for multi-product CVP analysis?
Why was the success of U2's world tour not solely dependent on each night's concert performance?
Why was the success of U2's world tour not solely dependent on each night's concert performance?
How did U2's revenue generation compare to industry trends during the tour?
How did U2's revenue generation compare to industry trends during the tour?
What was a critical factor for U2 to make a profit during their world tour?
What was a critical factor for U2 to make a profit during their world tour?
Why is it crucial for capital intensive companies to cover high fixed costs?
Why is it crucial for capital intensive companies to cover high fixed costs?
Flashcards are hidden until you start studying
