Explanation: D) Calculations: 112,500 / 7,500 = 15 Diff: 2 LO: 2-7 EOC: E2-41B AACSB: Reflective thinking Learning Outcome: Define and use cost-volume-profit analysis to analyze the effects of changes. 263) A company has monthly costs of $112,500. The variable costs are $6.00 per unit. If the sales price of a unit is $19.00 and we sell 7,500 units, the company's total variable costs will be A) $112,500. B) $45,000. C) $142,500. D) $97,500. Answer: B Explanation: B) Calculations: 7,500 × $6.00 = $45,000 Diff: 2 LO: 2-7 EOC: E2-41B AACSB: Reflective thinking Learning Outcome: Define and use cost-volume-profit analysis to analyze the effects of changes. 264) A company has monthly costs of $112,500. The variable costs are $6.00 per unit. If the sales price of a unit is $19.00 and we sell 7,500 units, the total sales revenue will be A) $97,500. B) $112,500. C) $142,500. D) $(15,000). Answer: C Explanation: C) Calculations: $19.00 × 7,500 = $142,500 Diff: 2 LO: 2-7 EOC: E2-41B AACSB: Reflective thinking Learning Outcome: Define and use cost-volume-profit analysis to analyze the effects of changes. 265) The price of a particular unit is $19.00. The company plans to sell 7,500 units. The variable costs are $6.00 per unit and monthly fixed costs are $112,500. Given this information what is the average fixed cost per unit? A) $6.00 per unit B) $21.00 per unit C) $13.00 per unit D) $15.00 per unit Answer: D Explanation: D) Calculations: 112,500 / 7,500 = 15 Diff: 2 LO: 2-7 EOC: E2-41B AACSB: Reflective thinking Learning Outcome: Define and use cost-volume-profit analysis to analyze the effects of changes.
Explanation: D) Calculations: 112,500 / 7,500 = 15 Diff: 2 LO: 2-7 EOC: E2-41B AACSB: Reflective thinking Learning Outcome: Define and use cost-volume-profit analysis to analyze the effects of changes. 263) A company has monthly costs of $112,500. The variable costs are $6.00 per unit. If the sales price of a unit is $19.00 and we sell 7,500 units, the company's total variable costs will be A) $112,500. B) $45,000. C) $142,500. D) $97,500. Answer: B Explanation: B) Calculations: 7,500 × $6.00 = $45,000 Diff: 2 LO: 2-7 EOC: E2-41B AACSB: Reflective thinking Learning Outcome: Define and use cost-volume-profit analysis to analyze the effects of changes. 264) A company has monthly costs of $112,500. The variable costs are $6.00 per unit. If the sales price of a unit is $19.00 and we sell 7,500 units, the total sales revenue will be A) $97,500. B) $112,500. C) $142,500. D) $(15,000). Answer: C Explanation: C) Calculations: $19.00 × 7,500 = $142,500 Diff: 2 LO: 2-7 EOC: E2-41B AACSB: Reflective thinking Learning Outcome: Define and use cost-volume-profit analysis to analyze the effects of changes. 265) The price of a particular unit is $19.00. The company plans to sell 7,500 units. The variable costs are $6.00 per unit and monthly fixed costs are $112,500. Given this information what is the average fixed cost per unit? A) $6.00 per unit B) $21.00 per unit C) $13.00 per unit D) $15.00 per unit Answer: D Explanation: D) Calculations: 112,500 / 7,500 = 15 Diff: 2 LO: 2-7 EOC: E2-41B AACSB: Reflective thinking Learning Outcome: Define and use cost-volume-profit analysis to analyze the effects of changes.
Test-Bank-for-Managerial-Accounting-4-E-4th-Edition.docx