CERTIFIED SPECIALIST IN ACCOUNTING AND
FINANCE: COURSE & CERTIFICATION GUIDE
If a lessee is building up equity in equipment being leased, the lease is:
**A. A capital lease.
B. An operating lease.
C. A noncancelable lease.
D. A cancelable monthly lease agreement.
Contribution margin is
A. The difference between marginal revenue and the break-even point.
**B. The difference between marginal revenue and marginal cost.
C. Where marginal revenue equals marginal cost.
D. The point where fixed cost produces a profit.
The break-even point is the level of sales volume of a product producing the exact amount of
_____________.
**A. Contribution margin needed to cover fixed costs
B. Incremental cost needed to cover fixed costs
C. Contribution margin needed to cover incremental costs
D. Contribution margin needed to cover all costs
Overhead is a common term for
A. Direct costs
B. Variable Costs
C. Fixed Costs
**D. Indirect Costs
Activity-based costing is
, A. Another term for the proportional allocation method
**B. A method of determining product costs using cost drivers or activity measures that cause indirect
costs to be incurred
C. Less expensive to determine due to the necessary data collection
D. Generally considered a less accurate costing method
Based on the historical data of the specific institution for which the budget is intended
A. Predetermined
**B. Negotiated
C. Customized standards
Arrived at by a group or association of organizations with similar characteristics (for example, a
published relative value scale).
**A. Predetermined
B. Negotiated
C. Customized standards
Based on detailed time or activity studies within a specific department of a specific institution.
A. Predetermined
B. Negotiated
**C. Customized standards
Which type of cost behavior varies more or less in direct proportion to volume?
**A. Variable cost
B. Fixed cost
C. Semi-variable cost
D. Semi-fixed cost
The hospital staffing for a regular acute unit is an example of
**A. Semi-fixed or stepped variable cost
B. Variable cost
C. Fixed cost
D. A fixed cost pattern
The wage variance is determined by:
A. The "difference in the actual and budgeted paid hours" times the "budgeted wage rate."
B. The "budgeted units of service" times the "budgeted labor hours per unit of service" times the "actual
average wage rate per hour."
C. The variance in the "labor hours per unit of service" times the "actual units of service" times the
"budgeted average wage rate."
**D. The "difference in the budgeted and actual average wage per hour" times the "actual paid hours."
When a hospital's actual patient census is greater than budgeted, the management views this as
favorable. Generally, the effect on the actual expenses being less than the budgeted amounts is:
FINANCE: COURSE & CERTIFICATION GUIDE
If a lessee is building up equity in equipment being leased, the lease is:
**A. A capital lease.
B. An operating lease.
C. A noncancelable lease.
D. A cancelable monthly lease agreement.
Contribution margin is
A. The difference between marginal revenue and the break-even point.
**B. The difference between marginal revenue and marginal cost.
C. Where marginal revenue equals marginal cost.
D. The point where fixed cost produces a profit.
The break-even point is the level of sales volume of a product producing the exact amount of
_____________.
**A. Contribution margin needed to cover fixed costs
B. Incremental cost needed to cover fixed costs
C. Contribution margin needed to cover incremental costs
D. Contribution margin needed to cover all costs
Overhead is a common term for
A. Direct costs
B. Variable Costs
C. Fixed Costs
**D. Indirect Costs
Activity-based costing is
, A. Another term for the proportional allocation method
**B. A method of determining product costs using cost drivers or activity measures that cause indirect
costs to be incurred
C. Less expensive to determine due to the necessary data collection
D. Generally considered a less accurate costing method
Based on the historical data of the specific institution for which the budget is intended
A. Predetermined
**B. Negotiated
C. Customized standards
Arrived at by a group or association of organizations with similar characteristics (for example, a
published relative value scale).
**A. Predetermined
B. Negotiated
C. Customized standards
Based on detailed time or activity studies within a specific department of a specific institution.
A. Predetermined
B. Negotiated
**C. Customized standards
Which type of cost behavior varies more or less in direct proportion to volume?
**A. Variable cost
B. Fixed cost
C. Semi-variable cost
D. Semi-fixed cost
The hospital staffing for a regular acute unit is an example of
**A. Semi-fixed or stepped variable cost
B. Variable cost
C. Fixed cost
D. A fixed cost pattern
The wage variance is determined by:
A. The "difference in the actual and budgeted paid hours" times the "budgeted wage rate."
B. The "budgeted units of service" times the "budgeted labor hours per unit of service" times the "actual
average wage rate per hour."
C. The variance in the "labor hours per unit of service" times the "actual units of service" times the
"budgeted average wage rate."
**D. The "difference in the budgeted and actual average wage per hour" times the "actual paid hours."
When a hospital's actual patient census is greater than budgeted, the management views this as
favorable. Generally, the effect on the actual expenses being less than the budgeted amounts is:
