Order ready-to-submit essays. No Plagiarism Guarantee!
Note: All our papers are written from scratch by human writers to ensure authenticity and originality.
1) If variable costs per unit decrease, sales volume at the break-even point will:
a. increase
b. decrease
c. remain the same
d. remain the same; however, contribution margin per unit will decrease
NEED HELP WRITING AN ESSAY
Tell us about your assignment and we will find the best writer for your project.
Get Help Now!2) A joint product should be processed beyond split-off if additional revenue from further processing exceeds
a. joint costs
b. allocated joint costs
c. allocated joint costs and additional costs of further processing
d. additional costs of further processing
© BrainMass Inc. brainmass.com March 21, 2019, 10:08 am ad1c9bdddf
https://brainmass.com/business/business-management/management-accounting-variable-costs-joint-product-6020
Solution Preview
1) Answer: B
The break-even point is the point at which the company has zero profits: Total costs = Total revenues.
Fixed costs + Break-even volume * Variable costs per unit = Break-even volume * Sales price per unit.
Break-even volume * (Sales price per unit – Variable costs per unit) = Fixed costs.
Break-even volume = Fixed costs / (Sales …
