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II. Multiple Choice (concepts) 1. Which department should held usually be held responsible for an unfavorablie B. Materials Handling C. Engineering. D. Purchasing. other in
II. Multiple Choice (concepts) 1. Which department should held usually be held responsible for an unfavorablie B. Materials Handling C. Engineering. D. Purchasing. other in 2. Which of the following will not re remain constant (Hint: Use the residual income A. An increase in sales revenue. 8. An increase in the minimum required rate of return. C. A decrease in expenses. D. A decrease in average operating assets increase in an to think through the answer)? formula 3. Which of the following are valid reasons for eliminating a product segment? I. Net operating income is negative II. Segment margin is negative A. Only I B. Only II C. Neither I or II D. cannot be determined from the information provided g methods is a non-discounted cash flow method used to evaluate long-term 4. Which of the followin investment decisions? A. Net present value method B. IRR method C. Simple rate of return method D. Profitability Index method 5. Which of the following costs is not a relevant cost for a special order pricing decision (Hint: Use the special order pricing decision formula to think through the answer)? A. Material Costs B. Fixed Manufacturing overhead C. Labor Costs D. Variable manufacturing overhead
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