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Which is not an example of manufacturing overhead? O Insurance on manufacturing facilities. Sales commissions/salaries. O Factory heating and lighting. O Property taxes for the
Which is not an example of manufacturing overhead? O Insurance on manufacturing facilities. Sales commissions/salaries. O Factory heating and lighting. O Property taxes for the factory. Question 28 Managerial accounting focuses on providing information to: O External users O Regulators O Stockholders and creditors O Management of an organization Which of the following is true related to variable costs and fixed costs (assuming they are within the relevant range)? Total fixed costs remain the same regardless of changes in the activity level. The variable cost per unit decreases as the activity level increase The fixed cost per unit remains the same regardless of changes in activity level. O Total variable cost remains the same regardless of changes in activity level. St. Nick Co., a toy manufacturer, is considering taking on a special order of dolls, Currently, the company has excess capacity. The following information has been collected: Units requested for special order: Normal selling price per doll: Selling price per doll for special order: Variable manufacturing costs per doll: Fixed manufacturing cost per doll that are still incurred if do not accept the order 1,000 dolls $20 $18 $15 $4 Using incremental analysis, should St. Nick Co. accept the special order? O No because this would decrease net income by $2,000. No because the selling price per the special order is less than the normal selling price. No because the total cost per doll of $19 is more than the special order selling price of $18 per doll. Yes because this would increase net income by $3,000
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