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Refer to the Exhibit. A company operates an absorption costing system. The management accounts show that fixed production overheads were over-absorbed in the period. Which FOUR combinations could possibly have resulted in this situation?A...
An increase in the variable cost per unit, will cause the point at which the line plotted on a profit/volume (PV) graph intersects the horizontal axis to:A . Move to the leftB . Move...
CORRECT TEXT Refer to the exhibit. A machine costing $47,000 will generate the following accounting profits: The annual charge for depreciation is $9,000. The cost of capital is 12%. The net present value of...
A company uses an integrated accounting system. The accounting entries for the sale of goods on credit would bE.A . Debit: Receivables control accountCredit: Sales accountB . Debit: Sales accountCredit: Finished Goods Control accountC...
FL uses an absorption costing system. The overhead absorption rate for production overheads is $8.60 per direct labour hour. Budgeted production overhead costs for the year were $473,000 and actual costs incurred were $468,000....
Which of the following would NOT be an appropriate performance measure for a profit centre manager?A . Return on capital employedB . Contribution per unitC . Sales price varianceD . Gross marginView AnswerAnswer: B
CORRECT TEXT Refer to the exhibit. The following information is available for a production process: The cost per unit of good output is: Give your answer to 2 decimal places.View AnswerAnswer: £13.17
The International Federation of Accountants (IFAC) stated that it was important that “accountants in business” should understand what the drivers of stakeholder value are. Which of the following statements is valid?A . Anyone with...
A company currently allows a discount of 20% to customers who pay at the time of purchase. If 30% of customers pay immediately, the extra sales needed in July to increase the cash receipts...
An increase in the selling price per unit, will cause the point at which the line plotted on a profit/volume (PV) graph intersects the horizontal axis to:A . Move to the leftB . Move...
