1. As production level increases within the relevant range, the per unit fixed costs will increase. 2. Managerial accounting focuses on the generation of information for use by management in both making decisions and establishing control. 3. Investigating the reasons for the variances on a department's performance report is an example of problem solving. 4. If the selling price per unit increases and all other factors remain constant, the Contribution Margin ratios will decrease. 5. An increase in total variable costs usually indicates that the cost-driver activity level is decreasing. The Second Section: MULTIPLE CHOICE Determine the best choice for each of the following statements (from No. 6 to No.10): "Kareem" Factory-produces and sells a single product. The following is factory's actual income statement for the year ended December 31. 202n. The "Kancem vaciory's variable manufacturing costs is 40% of sales and its selling variable costs is 20% of sales. Factory does not keep any inventory. 6. Contribution margin ratio is: a. 40% b. 35% c. 60% d. 70% 7. Break even units is: a. 30000 units b. 32500 units c. 13000 units d. 50000 units 8. Safety margin ratio is: a. 70% b. 60% c. 40% d. 35% 9. The expected units sold that the factory must sell to get net income of 30% of expected sales is: a. 30000 units b. 130000 units c. 50000 units d. 32500 units 10.If variable costs is increased by 25%, while maintaining the original contribution margin ratio, then the selling price per unit would be increased to: a. LE 25 b. LE 30 c. LE 40 d. LE 50 Determine the best choice for each of the following statements (from No. 11 to No.20): 11.The City of Zewail makes an LE 850,000 lump-sum budget appropriation to run a safe injection site for a year. All the appropriation is to be spent. The number of visits that the budget allocation will cover is 17500 patient visits. Fixed costs are LE 500000 per year. Then, the variable costs average per patient visit is: a. LE 20 b. LE 15 c. LE10 d. LE 25