MATCHING Instructions: Match each of the statements below with its proper term. Some terms may not be used. A. absorption costing B. activity bases (drivers) C. break-even point D. contribution margin E. contribution margin ratio F. cost behavior G. cost-volume-profit analysis H. cost-volume-profit chart I. fixed costs J. high-low method K. margin of safety L. mixed cost M. operating leverage N. profit-volume chart O relevant range P. sales mix Q. unit contribution margin R. variable costing S. variable costs 1. Costs that vary in total dollar amount as the level of activity changes. 2. Sales less variable cost of goods sold and variable selling and administrative expenses. 3. A measure of activity that is thought to cause a cost; used in analyzing and classifying cost behavior. 4. The percentage of each sales dollar that is available to cover the fixed costs and provide income from operations. 5. Costs that tend to remain the same in amount, regardless of variations in the level of activity. 6. The range of activity over which changes in cost are of interest to management. 7. A technique that uses the highest and lowest total cost as a basis for estimating the variable cost per unit and the fixed cost component of a mixed cost. 8. The level of business operations at which revenues and expired costs are equal. 9. The systematic examination of the relationships among costs, expenses, sales, and operating profit or loss. 10. The manner in which a cost changes in relation to its activity base (driver). 11. A chart used to assist management in understanding the relationships among costs, expenses, sales, and operating profit or loss. 12. The dollars available from each unit of sales to cover fixed costs and provide income from operations. 13. A chart used to assist management in understanding the relationship between profit and volume. 14. A cost with both variable and fixed characteristics