Reference no: EM13961944
1. The break-even point in units is:
a. contribution margin per unit divided by revenue per unit.
b. total costs divided by variable costs per units.
c. fixed costs divided by contribution margin per unit.
d. (fixed costs plus variable costs) divided by contribution margin per unit.
2. Sanchez & Ryan, Inc. sells a single product. This year, 20,000 units were sold resulting in $130,000 of sales revenue, $60,000 of variable costs, and $17,500 of fixed costs. The break-even point in units for a year is:
a. 3,000 units.
b. 5,000 units.
c. 2,000 units.
d. 10,000 units.
3. Individuals are motivated by both financial and nonfinancial means of compensation.
True
False
4. Contribution margin equals revenues minus:
a. product costs.
b. fixed costs.
c. period costs.
d. variable costs.
5. Sanchez & Ryan, Inc. sells a single product. This year, 20,000 units were sold resulting in $130,000 of sales revenue, $60,000 of variable costs, and $17,500 of fixed costs. The contribution margin per unit is:
a. $3.00
b. $1.75
c. $3.00
d. $6.50
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