Quiz Ch 5 - Managerial Accounting Quiz Chapter (lrue Oru9...

Info iconThis preview shows pages 1–2. Sign up to view the full content.

View Full Document Right Arrow Icon
Managerial Accounting Quiz Chapter 5 L9n" way to compute the total contribution margin is to add total fixed expenses to net operating ilncome. Oru9 False (lrue ? 9! a CVP graph for a profitable company, the total revenue line will be steeper than the total cost line. Qryy' False 3. All other thinss the same, a reduction in the variable expense per unit will cause the break-even point to rise. rrue 6aD 4. Contribution margin can be defined as: A. the amount of sales revenue necessary to cover variable expenses. B. sales revenue minus fixed expenses. Q. the amount of sales revenue necessary to cover fixed and variable expenses. @sales revenue minus variable expenses. 5. If a company is operating at the break-even point: A. its contribution margin will be equal to its variable expenses. @iu margin of safety -itt U. equal to zero. C. its fixed expenses will be equal to its variable expenses. D. its selling price
Background image of page 1

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
Image of page 2
This is the end of the preview. Sign up to access the rest of the document.

This note was uploaded on 09/08/2010 for the course BUS 21 at San Jose State University .

Page1 / 2

Quiz Ch 5 - Managerial Accounting Quiz Chapter (lrue Oru9...

This preview shows document pages 1 - 2. Sign up to view the full document.

View Full Document Right Arrow Icon
Ask a homework question - tutors are online