MFK Co purchases $540,000 per year of Product P at a price of $3 a uni

1.A marketer's fixed costs are $400,000, the variable cost is $16 per unit, and the price of the product is $24 per unit. What is the company's break-even point in dollar sales?

2.A marketer's fixed costs are $400,000. The variable cost is $16 per unit, and the price of the product is $24 per unit. If the company wants to make a profit, how many units must it sell and at what price?

3.A company uses components at the rate of 600 units per month, which are bought in at a cost of $2.24 each from the supplier. It costs $8.75 each time to place an order, regardless of the quantity ordered. The supplier offers a 5% discount on the purchase price for order quantities of 2 000 items or more. The current EOQ is 750 units. The total holding cost is 10% per annum of the value of inventory held.What is the change in total cost to the company of moving to an order quantity of 2,000 units? 选项： A、$601 additional cost B、 $730 additional cost C、 $730 saving D、 $601 saving

4.What is the inventory carrying cost (cost per unit per year) under the information below: average daily demand 10 units; lead time 2 days; product cost 250 dollar per unit; annual cost of capital 30%; ordering cost 500 dollars; days per year 250

5. Consider a hardware supply warehouse that is contractually obligated to deliver 1,000 units of a specialized fastener to a local manufacturing company each week. Each time warehouse places an order for these items from its supplier, an ordering and transportation fee of $20 is charged to the warehouse. The warehouse pays $1.00 for each fastener. Annual holding cost is 25 percent of inventory value, or $0.25 per year. The warehouse manager would like to know how much to order when inventory gets to zero (assuming the manufacturing plant operates for 50 weeks a year).Please answer the following questions: (Please write formulas to get the results)Demand D（per year） = Fixed setup cost K = Inventory holding cost h per item per time unit, h = Economic Order Quantity Q* = Number of orders per unit time = Length of order cycle (cycle time) = Total cost per unit time =

6.An entity uses components at the rate of 500 units per month, which are bought in at a cost of $1.2 each from the supplier. It costs $20 each time to place an order, regardless of the quantity ordered. The total holding cost is 20% per annum of the value of inventory held.How much is the total annual ordering cost if it purchases 800 unit each time? 选项： A: $200; B:$300; C:$150; D:$250

7.An entity uses components at the rate of 500 units per month, which are bought in at a cost of $1.2 each from the supplier. It costs $20 each time to place an order, regardless of the quantity ordered. The total holding cost is 20% per annum of the value of inventory held.How much is the total annual holding cost if it purchases 800 unit each time? 选项： A:$100; B:$96; C:$206; D:$200

8.29) The contribution margin per unit is equal to the: 选项： A:A) sales price per unit minus the total costs per unit. B:B) variable cost per unit minus the fixed cost per unit. C:C) sales price per unit minus the variable cost per unit. D:D) pretax profit per unit. E:E) aftertax profit per unit.

9.Perrin Co has two divisions , A and B . Division A has limited skilled labour and is operating at full capacity making product Y . It has been asked to supply a different product , X , to division B . Division B currently sources this product externally for $700 per unit . The same grade of materials and labour is used in both products . The cost cards for each product are shown below : Product Y X ($)/unit ($)/unit Selling price 600 - Direct materials ($50 per kg ) 200 150 Direct labour ($20 per hour ) 80 120 Apportioned fixed overheads ($15 per hour ) 60 90 Using an opportunity cost approach to transfer pricing , what is the minimum transfer price ?（）选项：A、$270 B、$750 C、$590 D、$840

10.Which of the following is a concern to a manager that utilizes the process-costing system? 选项： A、The cost object is known as a unit or multiple units of a distinct product. B、Allocates all of the product costs, including materials and labor. C、Per-unit cost is average unit cost applied to similar product. D、To obtain per-unit cost, divide total product costs of identical products by total number or units produced. E、Cost object is masses of identical or similar units of a product or service.

11.Product X sells for $35 per unit and has related variable costs of $25 per unit. The fixed costs of producing product X are $65,000 per month. How many units of product X must be sold each month to earn a monthly operating income of $85,000? 选项： A、2,833 units. B、6,000 units. C、15,000 units. D、10,000 units.

12.What is the economic time between orders under the information below: average daily demand 10 units; lead time 2 days; product cost 250 dollar per unit; annual cost of capital 30%; ordering cost 500 dollars; days per year 250 and weeks per year 52 (choose th best answer)选项： A:3 weeks B:4 weeks C:5 weeks D:6 weeks

13.If the price of product X increases from $2.00 per unit to $ 2.25 per unit, the demand will decrease from 7.5 million units to 6.7 million units. What is the price elasticity of demand for the product, and is the demand for the product elastic or inelastic 选项： A、-1.04; elastic. B、-0.96; elastic. C、-0.96; inelastic.

14.An entity uses components at the rate of 500 units per month, which are bought in at a cost of $1.2 each from the supplier. It costs $20 each time to place an order, regardless of the quantity ordered. The total holding cost is 20% per annum of the value of inventory held.What is the economic quantity ( to the nearest whole unit)? 选项： A:1000; B:1200; C:1400; D:1600

15.Johal Manufacturing Inc. manufacturers two products, A and B, and is comparing the budget for the current year with the actual results. The firm budgeted for sales of Product A at 450,000 units, and sales for Product B at 300,000 units. The expected market for Johal’s products was 10%. The selling price was budgeted at $8.00 per unit for Product A and $14.00 per unit for Product B, with variable costs of $5.00 for A and $7.00 for B. Fixed costs of $420,000 were incurred. Actual sales for the year for Product A were 460,000 units, and actual sales for Product B were 305,000 units. The total industry sales were 9,000,000 units. The actual selling price per unit for Product A was $8.20, and the variable costs were $4.90. The actual selling price per unit for Product B was $14.50, and the variable costs were $7.25. What is the market share variance for Johal’s products?选项： A:$621,000 U; B:$621,000 F; C:$658,800 U; D:$658,800 F

16.A company wishes to minimize the inventory costs. Order costs are $10 per order and holding costs are $0.1 per unit per month. It estimates that the annual demand will be 5,400 units. What is the economic quantity ( to the nearest whole unit)? 选项： A: 330; B:300; C: 400; D: 450

17.Ren's Tent Company has total fixed costs of $300,000 per year. The firm's average variable cost is $120 for 10,000 tents. At that level of output, the firm's average total costs equal 选项： A、$120 B、 $130 C、 $140 D、 $150

18. The Wacky Widget company has total fixed costs of $100,000 per year. The firm's average variable cost is $5 for 10,000 widgets. At that level of output, the firm's average total costs equal_________. 选项： A、 $10 B、 $100 C、 $150 D、 $15

19.The Wacky Widget company has total fixed costs of $100,000 per year. The firm's average variable cost is $5 for 10,000 widgets. At that level of output, the firm's average total costs equal_________. 选项：A、$10 B、$100 C、$150 D、$15

20.Smith Tire Co. has total fixed costs of $100,000 per year. The firm’s average variable cost is $80 for 10,000 tires. At that level of output, the firm’s average total costs equal ( )选项： A:$90. ; B:$100. ; C:$110. ; D:$120.

21.Which of the following best describes the concept of marginal analysis?选项： A:The amount of revenue per unit of product sold that contributes to profit B:The amount of revenue per unit of product sold that offsets costs C:The effect on costs and revenue when a company produces and sells one more unit of product D:Total revenue divided by the number of units sold

22.An organisation manufactures a single product. The total cost of making 4,000 units is $20,000 and the total cost of making 20,000 units is $40,000. Within this range of activity the total fixed costs remain unchanged.What is the variable cost per unit of the product?选项： A:$0.80; B:$1.20; C:$1.25; D:$2.00

23.Gremlin Industries will pay a dividend of $1.90 per share this year. It is expected that this dividend will grow by 4% per year each year in the future. The current price of Gremlin's stock is $23.50 per share. What is Gremlin's equity cost of capital?选项： A:11%; B:12%; C: 14%; D:16%

24.Sam has quasilinear preferences and his demand function for x is D(p) = 15-p/3.The price of x is initially $15 per unit and increases to $24 per unit. Sam's change is consumer surplus is the closest to:选项： A:-168 B:-76 C:-27 D:75