1-The competitive advantage is established by providing a. Better quality than competitors. b. More products to customers than competitors. c. Greater efficiency than competitors. d. Greater value for customers at lower cost than competitors.

2. In the multiple product analysis, the equilibrium units for each product will change as the sales mix changes. True False

3.The cost of conversion is the sum of direct materials plus the direct cost of labor and the main cost is the sum of direct labor plus general expenses. True False

4. Direct materials are an example of a. Step cost b. Mixed cost c. Variable cost. d. Fixed cost. 5.The initial inventory consisted of 10,000 units (20 percent converted) and the final inventory consisted of 20,000 units (40 percent converted). In addition, 60,000 units were started during the period. How many equivalent units for the conversion costs were obtained using the weighted average method? a. 58,000 units b. 50,000 units c. 56,000 units d. 70,000 units