Day 38 Flashcards
1
Q
Under Absorption costing what are the period and product costs?
A
Period:
- Fixed & Variable SG&A
Product:
- Direct Materials
- Direct Labor
- Fixed & Variable Overhead
MCQ-07735
2
Q
Equation: Investment Turnover
A
= Sales ÷ Avg. Investment
MCQ-06659
3
Q
What assumption would decrease the NPV?
A
Increase the Discount Rate
This will decrease the present value of future cash inflows, therefore decreasing the NPV
MCQ-03797
4
Q
What would MGMT find most helpful in developing a Capital budget?
A
Profit center equipment requests
MCQ-04832
5
Q
What is the order budgets should be prepared in?
A
- Sales
- Production
- Direct Materials purchases
- Cash disbursements
MCQ-05829
