1) Which of the following is a benefit of Activity Based Costing (ABC)? a) ABC can increase Assets b) ABC can increase Liabilities c) ABC provides more accurate cost for each unit of product or service d) ABC provides more accurate financial costs 2) Total revenue less total variable costs equals: a) Total contribution b) Total Assets c) Net capital d) Net cashflow 3) If only the fixed costs of a company increase, then: a) The break-even point will not change b) The break-even point will increase c) The break-even point is not dependent on costs d) The break-even point will decrease 4) Which of the following is the definition of a budget? a) A plan used by governments only b) A prediction of total assets c) A prediction of the total liabilities d) A short-term plan (typically for one year) 5) Which of the following is correct? a) Net contribution = net revenue + total fixed assets b) Total revenue - total variable costs= total contribution c) Marginal contribution = total costs - fixed costs d) Total contribution = total fixed costs - total variable costs