Contribution margin ratio - Study guides, Class notes & Summaries

CFA Level 1 - 101 Must Knows 368 Questions with Verified Answers Addition Rule of Probability - CORRECT ANSWER ADDITION: P(A or B) = P(A) + P(B) - P(AB) Roy's Safety First Criterion - CORRECT ANSWER Safety First Ratio = (E(R) - Rₜ) / σ Larger ratio is better If (Rₜ) is risk free rate, then it becomes Sharpe Ratio Sharpe Ratio - CORRECT ANSWER Sharpe Ratio = (E(R) - RFR) / σ Larger ratio is better If (Rt) is higher than RFR, then it becomes Safety First Ratio Centra...

ETS MFT BUSINESS EXAM The principal difference between variable costing and absorption costing centers on: a) whether variable manufacturing costs should be included as product costs b) whether fixed manufacturing costs should be included as product costs c) whether fixed manufacturing costs and fixed selling and administrative costs should be included as product costs d) none of these. General Bikes is debating which marketing research options to employ. The traditional p...

A cell reference that remains constant when a formula is pasted into a new cell - Answer-Absolute Cell Reference An accounting record in which the results of transactions accumulated; shows increases, decreases, and a balance. - Answer-Account A system for providing quantitative, financial information about economic entities that is useful for making sound economic decisions. Accounting provides the means of recording and communicating business activities and the results of those activitie...

CHAPTER 7- CENGAGE PRACTICE - ANSWERS Which of the following is true of the break-even point? - ANSWERSIt is the point where total revenue equals total cost. Marc Company sells a product for $20, incurs a variable cost of $12 per unit, and has total fixed costs of $6,000. What is the per-unit contribution margin? - ANSWERS$8 20-12=8 *sales- VC= contribution Whittier Company plans to produce and sell 2,000 units next month. The following data is given. Per unit TotalSelling pr...

ACCOUNTING 333 FINAL CONCEPTUAL COMPREHENSIVE AND NEW MATERIAL UPGRADED EXAM 2023/2024 contribution margin - CORRECT ANSWER-Revenue - Variable Costs contribution margin ratio - CORRECT ANSWER-Contribution Margin / Revenue breakeven point (units) - CORRECT ANSWER-total fixed costs / CM per unit breakeven point (revenue) - CORRECT ANSWER-total fixed costs / CM ratio target profit (units) - CORRECT ANSWER-(Target Profit + Total Fixed Costs) / CM per unit target profit (revenue) - CORRECT A...

INTEGRATED REVIEW 2: Management Advisory Services (MAS) #2 | Cost-Volume-Profit Analysis cvpp 1. Total unit cost A. needed for determining product information B. irrelevant in marginal analysis C. independent cost system D. relevant for cost-volume-profit analysis (CPAR Reviewer, 2018) 2. The rate or amount that sales may decline before losses are incurred is called: A. residual income rate B. variable sales ratio C. sensitive level of income D. margin of safety (CPAR Reviewer,...

ACCT-526: Final Questions And Answers 100% Correct!! CHAPTER 7- CENGAGE PRACTICE - ANSWERS Which of the following is true of the break-even point? - ANSWERSIt is the point where total revenue equals total cost. Marc Company sells a product for $20, incurs a variable cost of $12 per unit, and has total fixed costs of $6,000. What is the per-unit contribution margin? - ANSWERS$8 20-12=8 *sales- VC= contribution Whittier Company plans to produce and sell 2,000 units next month. Th...

Both direct materials and indirect materials are a. manufacturing overhead. b. raw materials. c. merchandise inventory. d. sold directly to customers by a manufacturing company.b. raw materials. The contribution margin ratio for Carol's Card Shop is 10%. For each $1.00 of sales, how much is generated in contribution margin? A. $0.10 B. $100.00 C. $10.00 D. $1.00A. $0.10

D196-Principles of Financial & Managerial Accounting Exam Questions and Answers 100% Pass A cell reference that remains constant when a formula is pasted into a new cell - Answer- Absolute Cell Reference An accounting record in which the results of transactions accumulated; shows increases, decreases, and a balance. - Answer- Account A system for providing quantitative, financial information about economic entities that is useful for making sound economic decisions. Accounting provides th...

Corporate Finance Quiz Answers Which of the following items are not included when determining income from operations? - Taxes Which ratio would you use to determine the profitability of the goods sold by a company? - Gross profit margin When performing a vertical analysis which income statement item do you use to determine the cost contribution for each expense category? (What is the denominator?) - Sales Horizontal analysis allows us to analyze performance over: - Time When ca...