The practice, which makes target more achievable by underestimating revenues or overestimating cost is called _____________?

Related Mcqs:

1. The target operating income is multiplied to tax rate and then subtracted from target operating income to calculate _____________?

   A. target net cost
   B. target net income
   C. target net gain
   D. target net loss

2. An analysis and reporting of revenues earned, and the incurred costs to earn these revenues from customers is classified as __________?

   A. partial productivity analysis
   B. treasury cost analysis
   C. customer profitability analysis
   D. customer cost analysis

3. An analysis and reporting of revenues earned, and the incurred costs to earn these revenues from customers is classified as ___________?

   A. partial productivity analysis
   B. treasury cost analysis
   C. customer profitability analysis
   D. customer cost analysis

4. The amount of money by which the total revenues exceed the breakeven revenues is classified as _________?

   A. margin of safety
   B. margin of profit
   C. margin of loss
   D. margin of income

5. The target price is subtracted from per unit target operating income to calculate __________?

   A. total current full cost
   B. total cost per unit
   C. target operating income per unit
   D. target cost per unit

6. If total production is 25000 units and target annual operating income is $300000, then target operating income per unit would be ____________?

   A. $15
   B. $12
   C. $16
   D. $18

7. If the target net income is $9600 and the tax rate is 40%, then the target operating income would be ___________?

   A. $10,000
   B. $12,000
   C. $16,000
   D. $14,000

8. If the target net income is $36000 and the tax rate is 40%, then the target operating income will be __________?

   A. $10,000
   B. $20,000
   C. $40,000
   D. $60,000

9. The fixed cost is divided by break-even revenues to calculate _____________?

   A. cost margin
   B. fixed margin
   C. revenue margin
   D. contribution margin

10. If the budgeted cost in indirect cost pool is $144500 and total quantity of cost allocation base is $165500, then the budgeted indirect cost rate will be __________?

    A. 67.30%
    B. 87.31%
    C. 55.50%
    D. 45.50%