Ivy software mba prepworks managerial
accounting questions and correct answers
verified latest 2025-2026 grade a
,If Elli Inc sells 20,000 units of x and 60,000 units of y, the composite unit
consists of .25x and .75y (T/F) - ANSWER>>>True. Adding 20,000 and
60,000 we get 80,000 units. Splitting this up into proportions we have
20,000/80,000=25%x and 60,000/80,000=75%y.
If the quantity sold is greater than the quantity produced there has to be: -
ANSWER>>>Finished goods beginning inventory. If you sell more than you
produce, you must obtain the units somewhere. You obtain them from the
finished goods beginning inventory.
Contribution margin and contribution margin per unit are the same. -
ANSWER>>>False
Breakeven indicates that the sales dollars cover all fixed and variable costs of
manufacturing - ANSWER>>>True
Inventoriable costs using variable costing is appropriate for external reporting
- ANSWER>>>False
Essex company sells two products- A and B. Product A sales are two times that
of product B. The contribution per unit for A is $4 and B is $1. What is the
weighted average contribution margin per unit? - ANSWER>>>$3
, Absorption costing clearly separates fixed costs from variable costs -
ANSWER>>>false
Converse company has two products- A and B. The weighted average
contribution margin per unit is $4. Converse sells twice as many As as Bs. The
contribution margin per unit for B is $2. What is it for A? - ANSWER>>>$5
If the breakeven is 5000 units and fixed costs are $50,000, what is the
contribution margin per unit? - ANSWER>>>$10
Which of the following will be found on an absorption costing income
statement but not on a variable costing income statement? -
ANSWER>>>Gross Margin and Cost of Goods Sold
If units produced are less than units sold, net income using absorption costing
is - ANSWER>>>Less than variable costing
If the selling price is $5 per unit the variable cost is $1 per unit and the fixed
cost is $20,000, what is the breakeven in units? - ANSWER>>>$5,000 (5x -
1x - 20000 = 0, 4x - 20,000=0, 4x=20000, x = 5000)
The total of ALL the right-hand sides of the T-accounts must equal the total of
ALL the left-hand sides of the T-Accounts (T/F) - ANSWER>>>True. The
double-entry system of accounting means that for each transaction recorded,
there is a left-hand (debit) entry offset by a right-hand (credit) entry.
Since the total of all the R sides of accounts equals the total of L sides, then the
total amount of increases entered in the general ledger must equal the total
amount of decreases (T/F) - ANSWER>>>False. Cash (Asset) and Common
Stock (Owners' Equity) is used to record the sale of company stock. While the
R
accounting questions and correct answers
verified latest 2025-2026 grade a
,If Elli Inc sells 20,000 units of x and 60,000 units of y, the composite unit
consists of .25x and .75y (T/F) - ANSWER>>>True. Adding 20,000 and
60,000 we get 80,000 units. Splitting this up into proportions we have
20,000/80,000=25%x and 60,000/80,000=75%y.
If the quantity sold is greater than the quantity produced there has to be: -
ANSWER>>>Finished goods beginning inventory. If you sell more than you
produce, you must obtain the units somewhere. You obtain them from the
finished goods beginning inventory.
Contribution margin and contribution margin per unit are the same. -
ANSWER>>>False
Breakeven indicates that the sales dollars cover all fixed and variable costs of
manufacturing - ANSWER>>>True
Inventoriable costs using variable costing is appropriate for external reporting
- ANSWER>>>False
Essex company sells two products- A and B. Product A sales are two times that
of product B. The contribution per unit for A is $4 and B is $1. What is the
weighted average contribution margin per unit? - ANSWER>>>$3
, Absorption costing clearly separates fixed costs from variable costs -
ANSWER>>>false
Converse company has two products- A and B. The weighted average
contribution margin per unit is $4. Converse sells twice as many As as Bs. The
contribution margin per unit for B is $2. What is it for A? - ANSWER>>>$5
If the breakeven is 5000 units and fixed costs are $50,000, what is the
contribution margin per unit? - ANSWER>>>$10
Which of the following will be found on an absorption costing income
statement but not on a variable costing income statement? -
ANSWER>>>Gross Margin and Cost of Goods Sold
If units produced are less than units sold, net income using absorption costing
is - ANSWER>>>Less than variable costing
If the selling price is $5 per unit the variable cost is $1 per unit and the fixed
cost is $20,000, what is the breakeven in units? - ANSWER>>>$5,000 (5x -
1x - 20000 = 0, 4x - 20,000=0, 4x=20000, x = 5000)
The total of ALL the right-hand sides of the T-accounts must equal the total of
ALL the left-hand sides of the T-Accounts (T/F) - ANSWER>>>True. The
double-entry system of accounting means that for each transaction recorded,
there is a left-hand (debit) entry offset by a right-hand (credit) entry.
Since the total of all the R sides of accounts equals the total of L sides, then the
total amount of increases entered in the general ledger must equal the total
amount of decreases (T/F) - ANSWER>>>False. Cash (Asset) and Common
Stock (Owners' Equity) is used to record the sale of company stock. While the
R
