dollars) decrease, what will be the effect on the contribution margin ratio and the break-even point, respectively? 7) If the fixed costs for a product decrease and the variable costs (as a percentage of sales 7) Contribution Margin Ratio Break-even Point Decreased Increased sed Increased Increased Decreased Decreased Increased A. C) Option A D) Option C A) Option B B) Option D 8) 8) The beginning Finished Goods Inventory plus the cost of goods manufactured equals A) ending finished goods inventory B) cost of goods sold for the period. C) total work-in-process during the period. D) cost of goods available for sale for the period. beginning Work-in-Process Inventory was 30% complete as to conversion costs. Using A) units started this period in this process plus 70% of the beginning inventory this 9 9) Materials are added at the beginning of a process in a process costing system. The first-in, first-out (FIFO) process costing, the total equivalent units for material are: period. B) beginning inventory this period for this process. C) units started this period in this process D) units started this period in this process plus the beginning inventory. 10) In a job costing system, the dollar amount in the journal entry that transfers the costs of 10) jobs from Work-in-Process Inventory to Finished Goods Inventory is the sum of the costs charged to all jobs: A) in process during the period. C) started in process during the period. B) sold during the period. D) completed during the period. 1) The FIFO method provides a major advantage over the weighted-average method in 11) that: A) the FIFO method treats units in the beginning inventory as if they were started and completed during the current period. B) the calculation of equivalent units is less complex under the FIFO method. C) the weighted-average method ignores units in the beginning and ending work-in-process inventories D) the FIFO method provides measurements of work done during the current period