5 Q4: A manufacturing plant produces two product lines: football equipment and hockey 26 equipment. Direct costs for the football equipment line are the: 27 A) advertising costs. B) utilities paid for the manufacturing plant. 8 9 C) salaries of the clerical staff that work in the company administrative offices. 0 1 D) monthly lease payments for a specialized piece of equipment needed to manufacture the football helmet. 2 3 #4 Q5: Which one of the following is the format of a CVP income statement? 5 6 7 8 9 40 A) sales - fixed costs-variable costs - operating expenses = net income B) sales-variable costs = fixed costs + net income C) sales-variable costs - fixed costs = net income D) sales-cost of goods sold - operating expenses = net income 41 12 13 14 15 16 17 Q6: In which situations should opportunity costs be considered? A) break-even analysis B) forecasting sales C) decision making that involves alternative uses D) financial accounting 8 Q7: In cost-plus pricing, the target selling price is calculated as 50 196823 53 A) variable cost per unit + desired ROI per unit B) fixed cost per unit + desired ROI per unit C) variable cost per unit + fixed manufacturing cost per unit + desired ROI per unit D) total unit cost + desired ROI per unit.