Name: __________________________ Date: _____________

1. Super-Tech Industries had the following department information about physical units and percentage of completion:

Physical Units

Work in process, June 1 (75%)

8,000

Completed and transferred out

18,000

Work in process, June 30 (50%)

12,000

If materials are added at the beginning of the production process, what is the total number of equivalent units for materials during June?

A) 15,000.

B) 30,000.

C) 32,000.

D) 24,000.

2. A department had the following information for the month:

Total materials costs

$210,000

Conversion cost per unit

$3.00

Total manufacturing cost per unit

$5.00

What are the equivalent units of production for materials?

A) 105,000.

B) 70,000.

C) 42,000.

D) Cannot be*…show more content…*

A) $36,000

B) $56,000

C) $24,000

D) $12,000

7. A division sold 100,000 calculators during 2013:

Sales

Variable costs:

Materials

$380,000

Order processing

150,000

Billing labor

110,000

Selling expenses

60,000

Total variable costs

Fixed costs

How much is the contribution margin per unit?

A) $2

B) $7

C) $17

D) $13

Page 2

$2,000,000

700,000

1,000,000

8. In 2012, Teller Company sold 3,000 units at $400 each. Variable expenses were $280 per unit, and fixed expenses were $180,000. The same selling price, variable expenses, and fixed expenses are expected for 2013. What is Teller 's break-even point in sales dollars for 2013?

A) $600,000

B) $1,800,000

C) $1,200,000

D) $1,714,286

9. For Wilder Corporation, sales is $1,200,000 (6,000 units), fixed expenses are $360,000, and the contribution margin per unit is $80. What is the margin of safety in dollars?

A) $60,000

B) $300,000

C) $540,000

D) $840,000

10. In 2012, Raleigh sold 1,000 units at $500 each, and earned net income of $50,000.

Variable expenses were $300 per unit, and fixed expenses were $150,000. The same selling price is expected for 2013. Raleigh 's variable cost per unit will rise by 10% in

2013 due to increasing material costs, so they are tentatively planning to cut fixed costs by $15,000. How many units must Raleigh sell in 2013 to maintain the same income level as 2012?

A) 794

B) 971

C) 1,176

D) 1,088

11. Capitol Manufacturing sells 3,000 units of Product A annually, and 7,000

1. Super-Tech Industries had the following department information about physical units and percentage of completion:

Physical Units

Work in process, June 1 (75%)

8,000

Completed and transferred out

18,000

Work in process, June 30 (50%)

12,000

If materials are added at the beginning of the production process, what is the total number of equivalent units for materials during June?

A) 15,000.

B) 30,000.

C) 32,000.

D) 24,000.

2. A department had the following information for the month:

Total materials costs

$210,000

Conversion cost per unit

$3.00

Total manufacturing cost per unit

$5.00

What are the equivalent units of production for materials?

A) 105,000.

B) 70,000.

C) 42,000.

D) Cannot be

A) $36,000

B) $56,000

C) $24,000

D) $12,000

7. A division sold 100,000 calculators during 2013:

Sales

Variable costs:

Materials

$380,000

Order processing

150,000

Billing labor

110,000

Selling expenses

60,000

Total variable costs

Fixed costs

How much is the contribution margin per unit?

A) $2

B) $7

C) $17

D) $13

Page 2

$2,000,000

700,000

1,000,000

8. In 2012, Teller Company sold 3,000 units at $400 each. Variable expenses were $280 per unit, and fixed expenses were $180,000. The same selling price, variable expenses, and fixed expenses are expected for 2013. What is Teller 's break-even point in sales dollars for 2013?

A) $600,000

B) $1,800,000

C) $1,200,000

D) $1,714,286

9. For Wilder Corporation, sales is $1,200,000 (6,000 units), fixed expenses are $360,000, and the contribution margin per unit is $80. What is the margin of safety in dollars?

A) $60,000

B) $300,000

C) $540,000

D) $840,000

10. In 2012, Raleigh sold 1,000 units at $500 each, and earned net income of $50,000.

Variable expenses were $300 per unit, and fixed expenses were $150,000. The same selling price is expected for 2013. Raleigh 's variable cost per unit will rise by 10% in

2013 due to increasing material costs, so they are tentatively planning to cut fixed costs by $15,000. How many units must Raleigh sell in 2013 to maintain the same income level as 2012?

A) 794

B) 971

C) 1,176

D) 1,088

11. Capitol Manufacturing sells 3,000 units of Product A annually, and 7,000

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