Questions from Cost Accounting

Q: In regression analysis, the coefficient of determination: a.

In regression analysis, the coefficient of determination: a. Is used to determine the proportion of the total variation in the dependent variable (y) explained by the independent variable (X). b. Rang...

Q: A regression equation is set up, where the dependent variable is

A regression equation is set up, where the dependent variable is total costs and the independent variable is production. A correlation coefficient of 0.70 implies that: a. The coefficient of determina...

Q: What would be the approximate value of the coefficient of correlation between

What would be the approximate value of the coefficient of correlation between advertising and sales where a company advertises aggressively as an alternative to temporary worker layoffs and cuts off a...

Q: Creative Woodworking uses normal costing and allocates manufacturing overhead to jobs based

Creative Woodworking uses normal costing and allocates manufacturing overhead to jobs based on a budgeted labor-hour rate and actual direct labor-hours. Under- or overallocated overhead, if immaterial...

Q: Which of the following is not a qualitative factor that Atlas Manufacturing

Which of the following is not a qualitative factor that Atlas Manufacturing should consider when deciding whether to buy or make a part used in manufacturing their product? a. Quality of the outside p...

Q: Chade Corp. is considering a special order brought to it by

Chade Corp. is considering a special order brought to it by a new client. If Chade determines the variable cost to be $9 per unit, and the contribution margin of the next best alternative of the facil...

Q: In order to determine whether a special order should be accepted at

In order to determine whether a special order should be accepted at full capacity, the sales price of the special order must be compared to the per unit: a. Contribution margin of the special order. b...

Q: Lees Corp. is deciding whether to keep or drop a small

Lees Corp. is deciding whether to keep or drop a small segment of its business. Key information regarding the segment includes: Contribution margin……………. 35,000 Avoidable fixed costs…………..30,000 Unavo...

Q: Ace Cleaning Service is considering expanding into one or more new market

Ace Cleaning Service is considering expanding into one or more new market areas. Which costs are relevant to Ace’s decision on whether to expand?

Q: Jacobs Inc. is a relatively new company that has established a

Jacobs Inc. is a relatively new company that has established a position in the highly competitive biotechnology industry. Which of the following statements is correct regarding Jacobs’ profitability?...