Accounting 231 Exam 3 WSU Question
and answers 100% correct || GRADED
A+|| LATEST UPDATE 2026
CVP Components -CORRECTANSWER Sales, Variable Costs, Contribution Margin,
Fixed Costs, Net Income
CVP Income Statement -CORRECTANSWER Sales - Variable Costs = Contribution
Margin; Contribution Margin - Fixed Costs = Net Income
Constructing CVP Statement -CORRECTANSWER List sales, subtract variable costs,
find contribution margin, subtract fixed costs
Incremental Analysis -CORRECTANSWER Comparing relevant revenues and costs
between alternatives
Incremental Decision Rule -CORRECTANSWER Choose the option that increases
income the most
Contribution Margin -CORRECTANSWER Sales minus variable costs
, Weighted Contribution Margin -CORRECTANSWER Average contribution margin
based on sales mix
Limited Resource CM -CORRECTANSWER Contribution margin per constrained
resource (like per machine hour)
Variable Costing -CORRECTANSWER Includes direct materials, direct labor, and
variable overhead only
Absorption Costing -CORRECTANSWER Includes all manufacturing costs: direct
materials, direct labor, variable and fixed overhead
Non-Financial Information -CORRECTANSWER Affects decisions like quality, customer
satisfaction, and employee morale
Incremental Costs -CORRECTANSWER Additional costs from choosing one option
over another
Sunk Costs -CORRECTANSWER Costs already incurred and cannot be changed
Avoidable Costs -CORRECTANSWER Costs that can be eliminated if a decision is
made
and answers 100% correct || GRADED
A+|| LATEST UPDATE 2026
CVP Components -CORRECTANSWER Sales, Variable Costs, Contribution Margin,
Fixed Costs, Net Income
CVP Income Statement -CORRECTANSWER Sales - Variable Costs = Contribution
Margin; Contribution Margin - Fixed Costs = Net Income
Constructing CVP Statement -CORRECTANSWER List sales, subtract variable costs,
find contribution margin, subtract fixed costs
Incremental Analysis -CORRECTANSWER Comparing relevant revenues and costs
between alternatives
Incremental Decision Rule -CORRECTANSWER Choose the option that increases
income the most
Contribution Margin -CORRECTANSWER Sales minus variable costs
, Weighted Contribution Margin -CORRECTANSWER Average contribution margin
based on sales mix
Limited Resource CM -CORRECTANSWER Contribution margin per constrained
resource (like per machine hour)
Variable Costing -CORRECTANSWER Includes direct materials, direct labor, and
variable overhead only
Absorption Costing -CORRECTANSWER Includes all manufacturing costs: direct
materials, direct labor, variable and fixed overhead
Non-Financial Information -CORRECTANSWER Affects decisions like quality, customer
satisfaction, and employee morale
Incremental Costs -CORRECTANSWER Additional costs from choosing one option
over another
Sunk Costs -CORRECTANSWER Costs already incurred and cannot be changed
Avoidable Costs -CORRECTANSWER Costs that can be eliminated if a decision is
made
