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Acc 561 Final Exam (New Classroom)

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ACC 561   Final Exam (New Classroom)

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Which of the following is an advantage of corporations relative to partnerships and sole proprietorships?

The group of users of accounting information charged with achieving the goals of the business is its

Which of the following financial statements is concerned with the company at a pointin time?

An income statement

The most important information needed to determine if companies can pay theircurrent obligations is the

A liquidity ratio measures the

The convention of consistency refers to consistent use of accounting principles

Horizontal analysis is also known as

Horizontal analysis is a technique for evaluating a series of financial statement dataover a period of time

Vertical analysis is a technique that expresses each item in a financial statement

Process costing is used when

An important feature of a job order cost system is that each job

In a process cost system, product costs are summarized:

An activity that has a direct cause-effect relationship with the resources consumed is a(n)

Activity-based costing

A cost which remains constant per unit at various levels of activity is a

The break-even point is where

Fixed costs are $600,000 and the contribution margin per unit is $150. What is the break-even point?

When a company assigns the costs of direct materials, direct labor, and both variableand fixed manufacturing overhead to products, that company is using

If a division manager’s compensation is based upon the division’s net income, themanager may decide to meet the net income targets by increasing production when using

An unrealistic budget is more likely to result when it

A major element in budgetary...

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