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ACC 561 Week 6 Final Guide

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allocates overhead directly to products and services based on activity levels.<br />

Multiple Choice Question 40<br />

A cost which remains constant per unit at various levels of activity is a<br />

mixed cost.<br />

fixed cost.<br />

manufacturing cost.<br />

variable cost.<br />

Multiple Choice Question 105<br />

The break-even point is where<br />

total sales equal total variable costs.<br />

total variable costs equal total fixed costs.<br />

total sales equal total fixed costs.<br />

contribution margin equals total fixed costs.<br />

Multiple Choice Question 109<br />

Fixed costs are $600,000 and the contribution margin per unit is $150. What is the breakeven<br />

point?<br />

$1,500,000<br />

$4,000,000<br />

1,500 units<br />

4,000 units

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