Domain 4 Lesson 2 and 3

Fixed costs do not change with the volume of production.

• True

• False

Which of the following are considered fixed costs? Choose the three that apply.

• Salaries

• Rent

• Insurance

• Commissions

Variable costs are those that increase with the volume of production.

• True

• False

Which of the following are considered variable costs? Choose the three that apply.

• Commissions

• Supplies

• Hourly Wages

• Salaries

Which type of cost increases with an increase in volume of production?

• Fixed

• Variable

Which type of costs do not change with an increase in volume of production

• Fixed

• Variable

Cash flow analysis focuses on how much ​ (a)   a company ​ (b)   and ​ (c)   over a specific period of time.

• cash
• generates
• spends

Total Cash-Total Costs=Ending Cash Balance is the formula for

• Cash Flow

• Net Income

• Budget

• Balance Statement

Burn rate is the rate at which a company uses over a month.

• True

• False

The burn rate formula is the Month Starting Balance -Month Ending Balance

• True

• False