The break-even point (BEP) = [Fixed cost ÷ (Unit price ? ________)].
A. Total expense
B. Marginal revenue
C. Unit variable cost
D. Total cost
E. Total number of units produced or quantity
Answer: C
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A disciplinary action meets the standards of outcome fairness if the manager explains to the employee how the action is procedurally just, treats the employee with dignity and respect, and empathizes with the employee's feelings.
Answer the following statement true (T) or false (F)
Lester Company purchases a piece of equipment on Jan. 2, 2010, for $30,000 . The equipment has an estimated life of eight years or 50,000 units of production and an estimated residual value of $3,000 . Lester uses a calendar fiscal year. The entry to record the amount of depreciation for 2010, using the double-declining-balance method, is:
a. Depreciation Expense– Equipment 4,500 Cash 4,500 b. Cash 5,000 Accumulated Depreciation– Equipment 5,000 c. Depreciation Expense — Equipment 5,500 Accumulated Depreciation– Equipment 5,500 d. Depreciation Expense — Equipment 7,500 Accumulated Depreciation– Equipment 7,500
A result of a separation of duties is that
A) operations become extremely inefficient because of constant training of employees. B) more employees will need to be bonded. C) theft by employees becomes impossible. D) theft is possible only if several employees scheme together.
A company has two products: A and B. It uses activity-based costing and has prepared the following analysis showing budgeted cost and activity for each of its three activity cost pools: Budgeted ActivityActivity Cost PoolBudgeted CostProduct AProduct BActivity 1$87,000 3,000 2,800 Activity 2$62,000 4,500 5,500 Activity 3$93,000 2,500 5,250 Annual production and sales level of Product A is 34,300 units, and the annual production and sales level of Product B is 69,550 units. What is the approximate overhead cost per unit of Product A under activity-based costing?
A. $2.00 B. $2.33 C. $10.28 D. $15.00 E. $3.00