ACC/560 ACC560 ACC 560 WEEK 6 QUIZ

ACC 560 WEEK 6 QUIZ

Week 6 Quiz

  • Question 1
   
 

Which of the following will always be a relevant cost?

      
   
   
     
  • Question 2
   
 

A company is contemplating the acceptance of a special order. The order would not affect regular sales and could be filled without exceeding plant capacity. However, a new stamping machine would have to be purchased in order to stamp the customer’s name on the product. Which of the following is likely?

      
   
   
     
  • Question 3
   
 

Incremental analysis would not be appropriate for

      
   
   
     
  • Question 4
   
 

The opportunity cost of an alternate course of action that is relevant to a make-or-buy decision is

      
   
   
     
  • Question 5
 

Which statement is true concerning the decision rule on whether to make or buy?

      
   
   
     
  • Question 6
 

In the minimum transfer price formula, variable cost is defined as the variable cost of

      
   
   
     
  • Question 7
 

The following per unit information is available for a new product of Red Ribbon Company:
Desired ROI $ 20
Fixed cost 40
Variable cost 60
Total cost 100
Selling price 120
Red Ribbon Company’s markup percentage would be

      
   
   
     
  • Question 8
   
 

Prices are set by the competitive market when

      
   
   
     
  • Question 9
   
 

In the cost-plus pricing approach, the desired ROI per unit is computed by multiplying the ROI percentage by

      
   
   
     
  • Question 10
   
 

The desired ROI per unit is calculated by

      
   
   
     

 

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