ACG 2071 FSU Exam 2 Questions With Correct Answers.

ACG 2071 FSU Exam 2 Questions With
Correct Answers


Fixed cost is like what equation? - CORRECT ANSWER✔✔-Y=4 (any
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number)


Variable Cost is like what function? - CORRECT ANSWER✔✔-Y= 5x
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Mixed cost is like what function? - CORRECT ANSWER✔✔-Y= mx + b
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If activity level goes up,up,up then... - CORRECT ANSWER✔✔-It is either
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purely Variable or Mixed
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If activity level goes up and price per unit goes down then... - CORRECT
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ANSWER✔✔-it is purely a fixed cost | | | | |




If total cost jumps then stays then.... - CORRECT ANSWER✔✔-It is a step
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cost


A firm with mixed costs will have a per unit cost that changes with
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activity level. True/False? - CORRECT ANSWER✔✔-True
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, A firm with fixed costs will have a per unit cost that does not change
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with activity level. True/False? - CORRECT ANSWER✔✔-False
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A firm with variable costs will have a per unit cost that changes with
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activity level. True/False? - CORRECT ANSWER✔✔-False
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A firm with mixed costs will have a total cost that does not change with
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activity level. True/False? - CORRECT ANSWER✔✔-False
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Per-Unit variable cost is.... - CORRECT ANSWER✔✔-The slope (Change in
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cost)/(Change in activity)
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Fixed cost is... - CORRECT ANSWER✔✔-The Y intercept
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High-Low Method of cost estimation - CORRECT ANSWER✔✔-Use the
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high and low activity levels to find a slope.
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Contribution Margin - CORRECT ANSWER✔✔-Selling price - Variable
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Cost


Contribution Margin Ratio - CORRECT ANSWER✔✔-Contribution Margin
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/ Sales
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