ECON 206 Chap003 sample MT Exam Questions and Answers

ECON 206 Chap003 sample MT Exam Questions and Answers.28. Iacopi Corporation is a wholesaler that sells a single product. Management has provided the following cost data for two levels of monthly sales volume. The company sells the product for $172.50 per unit. The best estimate of the total contribution margin when 4,300 units are sold is: A. $343,140 B. $65,790 C. $121,260 D. $411,080 29. An analysis of past maintenance costs indicates that maintenance cost is an average of $0.20 per machine-hour at an activity level of 10,000 machine-hours and $0.25 per machinehour at an activity level of 8,000 machine-hours. Assuming that this activity is within the relevant range, what is the total expected maintenance cost if the activity level is 8,700 machine-hours? A. $2,000 B. $400 C. $2,250 D. $1,740 30. Shipping expense is $9,000 for 8,000 pounds shipped and $11,250 for 11,000 pounds shipped. Assuming that this activity is within the relevant range, if the company ships 9,000 pounds, its expected shipping expense is closest to: A. $10,125 B. $8,583 C. $9,972 D. $9,750 1 Chapter 03 Sample MT Exam questions 31. The controller of JoyCo has requested a quick estimate of the manufacturing supplies needed for the month of July when production is expected to be 470,000 units. Below are actual data from the prior three months of operations. Using these data and the high-low method, what is the best estimate of the cost of manufacturing supplies that would be needed for July? (Assume that this activity is within the relevant range.) A. $805,284 B. $1,188,756 C. $755,196 D. $752,060 E. Source: CMA, adapted 32. Anderton Corporation has provided the following production and average cost data for two levels of monthly production volume. The company produces a single product. The best estimate of the total monthly fixed manufacturing cost is: A. $391,200 B. $271,200 C. $656,400 D. $351,200 2 Chapter 03 Sample MT Exam questions 33. Bakken Corporation has provided the following production and average cost data for two levels of monthly production volume. The company produces a single product. The best estimate of the total variable manufacturing cost per unit is: A. $16.50 B. $90.40 C. $45.50 D. $106.90 34. Carbert Corporation has provided the following production and average cost data for two levels of monthly production volume. The company produces a single product. The best estimate of the total cost to manufacture 4,300 units is closest to: A. $899,345 B. $951,160 C. $847,530 D. $915,010 3 Chapter 03 Sample MT Exam questions 35. Dabbs Corporation has provided the following production and total cost data for two levels of monthly production volume. The company produces a single product. The best estimate of the total monthly fixed manufacturing cost is: A. $737,950 B. $686,400 C. $274,000 D. $789,500 36. Eddins Corporation has provided the following production and total cost data for two levels of monthly production volume. The company produces a single product. The best estimate of the total variable manufacturing cost per unit is: A. $60.10 B. $38.40 C. $21.70 D. $22.30 37. Faram Corporation has provided the following production and total cost data for two levels of monthly production volume. The company produces a single product. The best estimate of the total cost to manufacture 2,300 units is closest to: A. $446,660 B. $465,840 C. $462,415 D. $478,170