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1.1.Our company sells its product for $60 per unit and has a variable cost of $30 per unit. Total fixed costs equal $20,000. What would be the breakeven point in units if the fixed costs decreased by $2,000? a. 500 b. 600 c. 1,000 d. 1,200 2.Our company sells its product for $100 per unit and has a variable cost of $40 per unit. Total fixed costs equal $18,000. The breakeven in units is 300, and we expect to sell 350 units. What is the margin of safety in dollars? a.($5,000) b. 3,000 c.($3,000) d.$5,000 3.What are costs that do not change in total over a wide range of volume? a.variable costs b.fixed costs c.mixed costs d.relative costs 4.Fixed costs per unit will: A.increase as volume increases b. remain the same regardless of changes in volume c. decrease as volume increases d.decrease as volume decreases 5.Which of the following is a fixed cost? a.direct materials b.wages of production workers c.salary of production manager d. sales commission. What would be the breakeven point in units if the fixed costs decreased by $2,000? a. 500 b. 600 c. 1,000 d. 1,200 2.Our company sells its product for $100 per unit and has a variable cost of $40 per unit. Total fixed costs equal $18,000. The breakeven in units is 300, and we expect to sell 350 units. What is the margin of safety in dollars? a.($5,000) b. 3,000 c.($3,000) d.$5,000 3.What are costs that do not change in total over a wide range of volume? a.variable costs b.fixed costs c.mixed costs d.relative costs 4.Fixed costs per unit will: A.increase as volume increases b. remain the same regardless of changes in volume c. decrease as volume increases d.decrease as volume decreases 5.Which of the following is a fixed cost? a.direct materials b.wages of production workers c.salary of production manager d. sales commission

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1.Our company sells its product for $60 per unit and has a variable cost of $30 per unit. Total fixed costs equal

$20,000. What would be the breakeven point in units if the fixed costs decreased by $2,000? 

a. 500

b. 600

c. 1,000

d. 1,200

2.Our company sells its product for $100 per unit and has a variable cost of $40 per unit. Total fixed costs equal $18,000. The breakeven in units is 300, and we expect to sell 350 units. What is the margin of safety in dollars?

a.($5,000)

b. 3,000

c.($3,000)

d.$5,000

3.What are costs that do not change in total over a wide range of volume?

a.variable costs

b.fixed costs

c.mixed costs

d.relative costs

4.Fixed costs per unit will:

A.increase as volume increases

b. remain the same regardless of changes in volume

c. decrease as volume increases

d.decrease as volume decreases

5.Which of the following is a fixed cost?

a.direct materials

b.wages of production workers

c.salary of production manager

d. sales commission

 
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