Once sales reach the break-even point, each additional unit sold will:
A. increase fixed cost by a proportionate amount.
B. increase the company's operating leverage.
C. increase profit by an amount equal to the per unit contribution margin.
D. reduce the margin of safety.
Answer: C
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Swango Corporation has two production departments, Casting and Customizing. The company uses a job-order costing system and computes a predetermined overhead rate in each production department. The Casting Department's predetermined overhead rate is based on machine-hours and the Customizing Department's predetermined overhead rate is based on direct labor-hours. At the beginning of the current year, the company had made the following estimates: CastingCustomizingMachine-hours 19,000 11,000Direct labor-hours 1,000 8,000Total fixed manufacturing overhead cost$138,700$86,400Variable manufacturing overhead per machine-hour$1.60 Variable manufacturing overhead per direct labor-hour $3.00The estimated total manufacturing overhead for the Customizing Department is closest to:
A. $60,379 B. $110,400 C. $24,000 D. $86,400
The liability of a stockholder is usually limited to the stockholder's investment in the corporation
Indicate whether the statement is true or false
Headings that show the sections of a report are called A) talking headings
B) signposts. C) functional headings. D) cross-sectional divisions.
Which of the following mathematical programming models can be transformed into their respective goal programming models,provided that the decision maker wants to seek the achievement of more than one goal?
a. Linear programming models b. Nonlinear programming models c. Integer programming models d. All of the above