5/23/25, 8:23 AM ACC 241 DALLMUS UPDATED COMPLETE EXAM QUESTIONS AND VERIFIED ANSWERS (DETAILED & ELABORATED) 1…
ACC 241 DALLMUS UPDATED COMPLETE EXAM
QUESTIONS AND VERIFIED ANSWERS
(DETAILED & ELABORATED) 100% SOLVED
2025!!
Save
Terms in this set (131)
A constraint is anything that prevents an
organization or individual from getting more of what
it wants. Or a limitation under which a company must
Constraint
operate, such as limited machine time available or
limited raw materials available that restricts the
company's ability to satisfy demand.
A costing approach used by price-setters, where
Cost-Plus Pricing the price of a product is set at the cost of
production plus a certain profit margin.
The potential benefit that is given up when one
Opportunity Cost
alternative is selected over another.
A make-buy decision: Managers decide whether to
buy a product or service or produce it in-house.
Shifting a company's operations to a third-party may
Outsourcing
be done to lower costs, achieve better quality,
manage fluctuations in volume or quickly respond
to opportunities and / or threats.
The predicted future costs and revenues that will
differ among alternatives. Although past data may
Relevant Information
be helpful in predicting future costs and revenues,
past data is irrelevant in making future decisions.
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,5/23/25, 8:23 AM ACC 241 DALLMUS UPDATED COMPLETE EXAM QUESTIONS AND VERIFIED ANSWERS (DETAILED & ELABORATED) 1…
Any cost that has already been incurred and cannot
Sunk Cost be changed by any decision made now or in the
future.
A costing approach used by price-takers, where
product development is based on what the market
will pay for it, not on what it costs to produce it. In
Target Costing other words, market price less a desired profit
margin becomes the determinant of a product's
target cost and not the other way around, as is the
case with Cost-Plus Pricing.
The break-even point in any business is that point at
which the volume of sales or revenues exactly
equals total expenses -- the point at which there is
Breakeven Point neither a profit nor loss. The break- even point tells
the manager what level of output or activity is
required before the firm can make a profit; reflects
the relationship between costs, volume and profits.
The difference between total sales revenue and
Contribution Margin
total variable costs.
Contribution margin per unit is the difference
Contribution Margin Per between the price of a
Unit product and the sum of the variable costs of one
unit of that product.
ncome statement that organizes cost by behavior. It
Contribution Margin shows the relationship of variable costs and fixed
Income Statement costs, regardless of the functions a given cost item
is associated with.
Contribution Margin Ratio of contribution margin to sales revenue
Ratio (Contribution Margin ÷ Sales Revenue)
https://quizlet.com/1047372639/acc-241-dallmus-updated-complete-exam-questions-and-verified-answers-detailed-elaborated-100-solved-2025-… 2/29
, 5/23/25, 8:23 AM ACC 241 DALLMUS UPDATED COMPLETE EXAM QUESTIONS AND VERIFIED ANSWERS (DETAILED & ELABORATED) 1…
Analysis that deals with how profits and costs
change with a change in volume. More specifically,
it looks at the effects on profits of changes in such
factors as variable costs, fixed costs, selling prices,
volume, and mix of products sold. By studying the
relationships of costs, sales, and net income,
management is better able to cope with many
planning decisions. For example, CVP analysis
Cost-Volume-Profit (CVP) attempts to answer the following questions: (1) What
Analysis sales volume is required to break even? (2) What
sales volume is necessary in order to earn a desired
(target) profit? (3) What profit can be expected on a
given sales volume? (4) How would changes in
selling price, variable costs, fixed costs, and output
affect profits? (5) How would a change in the mix of
products sold affect the break-even and target
volume and profit potential? See also breakeven
analysis; target income sales.
The excess of budgeted or actual sales over the
break even volume of sales. It states the amount by
Margin of Safety which sales can drop before losses begin to be
incurred. The higher the margin of safety, the lower
the risk of not breaking even.
A measure of how sensitive net operating income is
to percentage changes in sales. Operating leverage
acts as a multiplier. If operating leverage is high, a
small percentage increase in sales can produce a
Operating Leverage
much larger percentage increase in net operating
income. It is high near the breakeven point and
decreases as the sales and profit increase.
(Contribution Margin ÷ Net Operating Income)
Indicates the percentage change in operating
Operating Leverage
income that will result from a 1% change in sales
Factor
volume.
Proportion of total sales which each product or
product line generates, and which needs to be
Sales Mix
appropriately balanced to achieve the maximum
amount of gross profit.
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ACC 241 DALLMUS UPDATED COMPLETE EXAM
QUESTIONS AND VERIFIED ANSWERS
(DETAILED & ELABORATED) 100% SOLVED
2025!!
Save
Terms in this set (131)
A constraint is anything that prevents an
organization or individual from getting more of what
it wants. Or a limitation under which a company must
Constraint
operate, such as limited machine time available or
limited raw materials available that restricts the
company's ability to satisfy demand.
A costing approach used by price-setters, where
Cost-Plus Pricing the price of a product is set at the cost of
production plus a certain profit margin.
The potential benefit that is given up when one
Opportunity Cost
alternative is selected over another.
A make-buy decision: Managers decide whether to
buy a product or service or produce it in-house.
Shifting a company's operations to a third-party may
Outsourcing
be done to lower costs, achieve better quality,
manage fluctuations in volume or quickly respond
to opportunities and / or threats.
The predicted future costs and revenues that will
differ among alternatives. Although past data may
Relevant Information
be helpful in predicting future costs and revenues,
past data is irrelevant in making future decisions.
https://quizlet.com/1047372639/acc-241-dallmus-updated-complete-exam-questions-and-verified-answers-detailed-elaborated-100-solved-2025-… 1/29
,5/23/25, 8:23 AM ACC 241 DALLMUS UPDATED COMPLETE EXAM QUESTIONS AND VERIFIED ANSWERS (DETAILED & ELABORATED) 1…
Any cost that has already been incurred and cannot
Sunk Cost be changed by any decision made now or in the
future.
A costing approach used by price-takers, where
product development is based on what the market
will pay for it, not on what it costs to produce it. In
Target Costing other words, market price less a desired profit
margin becomes the determinant of a product's
target cost and not the other way around, as is the
case with Cost-Plus Pricing.
The break-even point in any business is that point at
which the volume of sales or revenues exactly
equals total expenses -- the point at which there is
Breakeven Point neither a profit nor loss. The break- even point tells
the manager what level of output or activity is
required before the firm can make a profit; reflects
the relationship between costs, volume and profits.
The difference between total sales revenue and
Contribution Margin
total variable costs.
Contribution margin per unit is the difference
Contribution Margin Per between the price of a
Unit product and the sum of the variable costs of one
unit of that product.
ncome statement that organizes cost by behavior. It
Contribution Margin shows the relationship of variable costs and fixed
Income Statement costs, regardless of the functions a given cost item
is associated with.
Contribution Margin Ratio of contribution margin to sales revenue
Ratio (Contribution Margin ÷ Sales Revenue)
https://quizlet.com/1047372639/acc-241-dallmus-updated-complete-exam-questions-and-verified-answers-detailed-elaborated-100-solved-2025-… 2/29
, 5/23/25, 8:23 AM ACC 241 DALLMUS UPDATED COMPLETE EXAM QUESTIONS AND VERIFIED ANSWERS (DETAILED & ELABORATED) 1…
Analysis that deals with how profits and costs
change with a change in volume. More specifically,
it looks at the effects on profits of changes in such
factors as variable costs, fixed costs, selling prices,
volume, and mix of products sold. By studying the
relationships of costs, sales, and net income,
management is better able to cope with many
planning decisions. For example, CVP analysis
Cost-Volume-Profit (CVP) attempts to answer the following questions: (1) What
Analysis sales volume is required to break even? (2) What
sales volume is necessary in order to earn a desired
(target) profit? (3) What profit can be expected on a
given sales volume? (4) How would changes in
selling price, variable costs, fixed costs, and output
affect profits? (5) How would a change in the mix of
products sold affect the break-even and target
volume and profit potential? See also breakeven
analysis; target income sales.
The excess of budgeted or actual sales over the
break even volume of sales. It states the amount by
Margin of Safety which sales can drop before losses begin to be
incurred. The higher the margin of safety, the lower
the risk of not breaking even.
A measure of how sensitive net operating income is
to percentage changes in sales. Operating leverage
acts as a multiplier. If operating leverage is high, a
small percentage increase in sales can produce a
Operating Leverage
much larger percentage increase in net operating
income. It is high near the breakeven point and
decreases as the sales and profit increase.
(Contribution Margin ÷ Net Operating Income)
Indicates the percentage change in operating
Operating Leverage
income that will result from a 1% change in sales
Factor
volume.
Proportion of total sales which each product or
product line generates, and which needs to be
Sales Mix
appropriately balanced to achieve the maximum
amount of gross profit.
https://quizlet.com/1047372639/acc-241-dallmus-updated-complete-exam-questions-and-verified-answers-detailed-elaborated-100-solved-2025-… 3/29
