Bender Day 11

Question 1

A market with many independent firms, low barriers to entry, and product differentiation is best classified as:

Answer 1

Monopolistic Competition

MCQ-03812

Question 2

What would cause a company’s break even point in sales to increase?

Answer 2

Total Fixed Costs increase

Breakeven Point = total Fixed Costs / contribution margin per unit

MCQ-08537

Question 3

Under variable costing method how is variable SGA expenses and variable OH costs assigned?

Answer 3

Variable SGA expenses are paid costs

Variable OH is assigned to inventory

MCQ-03716

Question 4

True or False: an audit committee must quickly resolve any complaint raised by an employee on internal controls

Answer 4

False

MCQ-00258

Question 5

When do differentiation strategies fail?

Answer 5

The value of the firms differentiation premium does not exceed it’s costs

MCQ-03609

Question 6

Equation: Contribution Margin Per Unit

Answer 6

Sales Price per Unit - Variable Cost per Unit

MCQ-07093

Question 7

What is an example of internal failure costs?

Answer 7

Tooling changes

MCQ-06787

Question 8

What are the gators l factors that those charged with IT governance use to create an organization’s IT strategy?

Answer 8

1. Corporate strategy
2. Regulations
3. Vision Stmt

MCQ-14597

Question 9

True or False: if the manufacturing costs of a firm are less than that of a rival firm, then the firm has competitive market advantage

Answer 9

False

Total costs must be lower to achieve competitive market advantage

MCQ-04077

Question 10

What costing method will yield the lowest inventory cost?

Answer 10

Variable

MCQ-07010