MCQ 1 Andrew Hockey Inc. (AHI) has 2 divisions, one sells Ice Hockey equipment and the other sells Field Hockey equipment. The sales mix is 60% for Ice Hockey and 40% for Field Hockey. AHI incurs $1,984,400 in fixed costs. The contribution margin ratio for Ice is 40% and for Field is 50%. What is the break even in sales dollars for the Ice Hockey division? A) $ 4,510,000 B) $ 2,706,000 C) $ 1,804,000 D) $ 4,961,000 E) $ 3,968,800 MCQ 2 Magic Company manufactures heating units for commercial buildings and has noticed considerable variation in shipping expenses from month to month as per the data below: Units Total Shipping Month Shipped Expense January 4 $ 1,720 February 4 $ 2,620 March 5 $ 2,000 April 2 $ 1,218 May 3 $ 1,200 June 6 $ 2,280 July 8 $ 3,168 What is the fixed cost of shipping the units? A) $568.00 B) $325.00 C) $256.00 D) $496.00 E) $370.00

MCQ 6 Uptick Company's uses direct labour when calculating its predetermined overhead to apply manufacturing overhead to jobs. The company estimated manufacturing overhead would be $220,000 and direct labour hours would be 11,000. The actual figures for the year were $246,000 for manufacturing overhead and 12,500 direct labour hours. Based on this, the company had: A) $8,000 underapplied overheads B) $8,000 overapplied overheads C) $4,000 underapplied overheads D) $4,000 overapplied overheads E) No over or under applied overheads MCQ 7 Suppose that sales of 320,000 remained the same, margin of 0.1 increased by 50%, and the average operating assets of 100,000 increased by 20%. What would be the effect on the ROI? A) It would decrease by 25% B) It would increase by 25% C) It would increase by 30% D) It would increase by 50% E) It would remain the same

MCQ 10 The following data is available for X Technologies Inc. for the year 2021. Beginning inventory 0 Units produced 37,500 Units sold 32,000 Selling and administrative expenses: Variable per unit $ 25 Fixed per year $ 480,000 Manufacturing costs: DM per unit $ 250 DL per unit $ 55 VMOH per unit $ 40 Total Fixed MOH per year $ 450,000 What is the unit product cost under absorption costing? (rounded to a full dollar) A) $ 357 B) $ 370 C) $ 360 D) $ 359 E) $ 342