“Break-even point” is the point of intersection of_____________________?

Related Mcqs:

1. In declining balance method of depreciation calculation, the _____________________?

   A. Value of the asset decreases linearly with time
   B. Annual cost of depreciation is same every year
   C. Annual depreciation is the fixed percentage of the property value at the beginning of the
   particular year
   D. None of these

2. In which of the electric power generation system, the operating cost is minimum ?

   A. Thermal
   B. Nuclear
   C. Hydroelectric
   D. Fast breeder reactor

3. In a chemical process plant, the total product cost comprises of manufacturing cost and the__________________?

   A. General expenses
   B. Overhead cost
   C. R & D cost
   D. None of these

4. Annual depreciation cost are not constant when, the _____________ method of depreciation calculation is used ?

   A. Straight line
   B. Sinking fund
   C. Present worth
   D. Declining balance

5. In an ordinary chemical plant, electrical installation cost may be about ____________________?

   A. 10-15% of purchased equipment cost
   B. 3-10% of fixed capital investment
   C. Either A. or B.
   D. Neither A. nor B.

6. Scheduling provides information about the_________________?

   A. Proper utilisation of machines
   B. Means to minimise idle time for machines
   C. Time of completion of job
   D. Time of starting of job and also about how much work should be completed during a
   particular period

7. Pick out the wrong statement?

   A. Gross margin = net income – net expenditure
   B. Net sales realisation (NSR) = Gross sales – selling expenses
   C. At breakeven point, NSR is more than the total production cost
   D. Net profit = Gross margin – depreciation – interest

8. Equipment installation cost in a chemical process plant ranges from _______________ percent of the purchased equipment cost ?

   A. 10 to 20
   B. 35 to 45
   C. 55 to 65
   D. 70 to 80

9. The amount of simple interest during ‘n’ interest period is (where, i = interest rate based on the length of one interest period, p = principal) ?

   A. p.i.n.
   B. p(1 + i.n)
   C. p(1 + i)n
   D. p(1 – i.n)

10. A machine has an initial value of Rs. 5000, service life of 5 years and final salvage value of Rs. 1000. The annual depreciation cost by straight line method is Rs______________?

    A. 300
    B. 600
    C. 800
    D. 1000