assuming that a segment has both variable exp 380764

Assuming that a segment has both variable expenses and traceable fixed expenses, an increase in sales should increase profits by an amount equal to the sales times the segment margin ratio.

A) True

B) False

2. A segment is any portion or activity of an organization about which a manager seeks revenue, cost, or profit data.

A) True

B) False

3. A manufacturing company that produces a single product has provided the following data concerning its most recent month of operations:

What is the total period cost for the month under variable costing?

A) $185,000 B) $117,600 C) $273,200 D) $302,600

4. Which of the following are considered to be product costs under variable costing?

I. Variable manufacturing overhead.

II. Fixed manufacturing overhead.

III. Selling and administrative expenses.

A) I.

B) I and II.

C) I and III.

D) I, II, and III.

5. Abe Company, which has only one product, has provided the following data concerning its most recent month of operations:

What is the unit product cost for the month under variable costing?

A) $99

B) $81

C) $106

D) $88

6. Cockriel Inc., which produces a single product, has provided the following data for its most recent month of operations:

There were no beginning or ending inventories. The variable costing unit product cost was:

A) $42 B) $43 C) $37 D) $48

7. Tsuchiya Corporation manufactures a variety of products. Last year, the company’s variable costing net operating income was $57,500. Fixed manufacturing overhead costs deferred in inventory under absorption costing amounted to $35,400. What was the absorption costing net operating income last year?

A) $22,100 B) $35,400 C) $57,500 D) $92,900

8. Fahey Company manufactures a single product that it sells for $25 per unit. The company has the following cost structure: There were no units in beginning inventory. During the year, 18,000 units were produced and 15,000 units were sold. Under absorption costing, the unit product cost is:

A) $9 B) $12 C) $13 D) $16