ACC 560 ACC560 Week 4 Quiz Chapters 7 and 8

ACC 560 ACC560 Week 4 Quiz Chapters 7 and 8


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ACC 560 Week 4 Quiz Chapters 7 and 8


In March 2016, Wheels ‘N Spokes repairs a bicycle that takes two hours to repair and uses parts of $240. The bill for this repair would be


In cost-plus pricing, the target selling price is computed as


The labor charge per hour in time-and-material pricing includes all of the following except


A company that is a price taker would most likely use which of the following methods?


The desired ROI per unit is calculated by


A company is contemplating the acceptance of a special order. The order would not affect regular sales and could be filled without exceeding plant capacity. However, a new stamping machine would have to be purchased in order to stamp the customer’s name on the product. Which of the following is likely?


Which statement is true concerning the decision rule on whether to make or buy?


The opportunity cost of an alternate course of action that is relevant to a make-or-buy decision is


Martin Company incurred the following costs for 70,000 units:
Variable costs $420,000
Fixed costs 392,000

Martin has received a special order from a foreign company for 3,000 units. There is sufficient capacity to fill the order without jeopardizing regular sales. Filling the order will require spending an additional $6,300 for shipping.

If Martin wants to earn $6,000 on the order, what should the unit price be?


Incremental analysis is most useful

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