#3	Which of the following is considered a period cost?
	A.	Rent on a factory machine
	B.	Maintenance on production equipment
	C.	Indirect manufacturing labor
	D.	Product marketing and delivery costs
	#4	Which type of analysis would highlight the dollar change and percentage change in sales from one year to the next?
	A.	Horizontal analysis
	B.	Vertical analysis
	C.	Current ratio analysis
	D.	Comprehensive analysis

	#7	Kamins Company uses a predetermined overhead rate of $6.00 per labor hour. Overhead was underapplied by $40,000 for the year, and actual labor hours totaled 70,000. How much was the actual overhead cost?
	A.	$460,000
	B.	$380,000
	C.	$420,000
	D.	$360,000

	#9	If the contribution margin is greater than zero,
	A.	the selling price of each product is less than the variable cost per unit.
	B.	total variable costs are less than sales revenue.
	C.	the company will be profitable.
	D.	the fixed costs are greater than variable cost.

	#14	Indirect costs occur when
	A.	resources are shared by more than one product or service.
	B.	costs are directly traced to products or services.
	C.	controllable costs are incurred by cost objectives.
	D.	All of these answer choices are correct.

	#16	What should be maximized when setting the price for a product?
	A.	Total revenue
	B.	Contribution margin per unit
	C.	Net income
	D.	The number of units of product sold

	#21	Which of the following is generally unfavorable for ratio changes?
	A.	An increase in inventory turnover
	B.	A decrease in operating expenses
	C.	A decrease in the asset turnover
	D.	An increase in the price-earnings ratio

	#31	Which of the following is the return a company is able to earn on funds invested by shareholders?
	A.	Return on total assets
	B.	Return on common stockholders equity
	C.	Price-earning ratio
	D.	Dividends paid
	#32	The income amount that is used in the calculation of return on investment is usually
	A.	earnings before interest and taxes.
	B.	net income as defined by GAAP.
	C.	operating cash flows.
	D.	net operating profit after taxes.