
MATS-Break-Even Analysis
Quiz
•
Other
•
12th Grade
•
Practice Problem
•
Medium
Nisha Agrawalla
Used 1+ times
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5 questions
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1.
MULTIPLE CHOICE QUESTION
30 sec • 1 pt
Cost-Volume-Profit (CVP) analysis is crucial in a manufacturing company in helping with long-term decision making.
True
False
2.
MULTIPLE CHOICE QUESTION
30 sec • 1 pt
Break-even is the point where a company produces and sells enough units to cover its budgeted profit.
True
False
3.
MULTIPLE CHOICE QUESTION
30 sec • 1 pt
Contribution is concerned with both the direct and indirect costs per unit.
True
False
4.
MULTIPLE CHOICE QUESTION
30 sec • 1 pt
Margin of safety is calculated by taking the break-even sales units off the budgeted sales units.
True
False
5.
MULTIPLE CHOICE QUESTION
30 sec • 1 pt
To calculate how many units a company has to make in order to achieve a target profit it would use the following formula: (Target profit + fixed costs) ÷ contribution per unit.
True
False
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