In: Accounting
Please match appropriate letters and number with definition.
A. Account Analysis B. Contribution Margin C. Contribution Margin ratio D. Constraint E. High-Low Method F. Margin of safety G. Profit Equation H. Relevant Range
I. Semi variable J. Step Cost K. "what if" analysis L. Break even point M. Contribution margin per unit N. Contribution margin per unit of constraint O. Discretionary fixed cost
P. Fixed cost Q. Mixed Cost R. Operating leverage X. Regression analysis Y. Scatter graph Z. Variable Cost 0 Weighted average contribution margin per unit
____Where sales and total costs are equal
____The cost per unit varies inversely to changes in activity
____the total cost varies in direct proportion to changes in activity
____pertains to the relationship between fixed and variable costs
____Fixed costs that management can easily change in the short run
____contains both a fixed and a variable cost
____used in the denominator of the break even point when multiproduct exists
____unit contribution margin divided by amount of scarce resource per unit
____provides the most accurate cost equation of a mixed cost
____used to determine a mixed cost equation by visually fitting a line to sample data points.
____the difference between the sales and variable costs
____profit = SP (x) - VC (x) - FC
____another name for mixed cost
____the difference between actual sales and break-even sales
____a scarce resource
____a cost that is fixed within a range of activity but increases to higher level when the upper limit of the range is exceeded
____determining that will happen if a particular action is taken
____the span of activity for which estimates and predictions are likely to be accurate
____contribution margin divided by sales
used to estimate the fixed and variable components of a mixed cost based on only two data points
Break even point - Where sales and total costs are equal
Fixed cost - The cost per unit varies inversely to changes in activity
Variable Cost - the total cost varies in direct proportion to changes in activity
Operating leverage - pertains to the relationship between fixed and variable costs
Discretionary fixed cost - Fixed costs that management can easily change in the short run
Mixed cost - contains both a fixed and a variable cost
Weighted average contribution margin per unit - used in the denominator of the break even point when multi product exists
Contribution margin per unit of constraint - unit contribution margin divided by amount of scarce resource per unit
Regression analysis - provides the most accurate cost equation of a mixed cost
Scatter graph - used to determine a mixed cost equation by visually fitting a line to sample data points.
Contribution Margin - the difference between the sales and variable costs
Profit Equation - profit = SP (x) - VC (x) - FC
Semi variable - another name for mixed cost
Margin of safety - the difference between actual sales and break-even sales
Constraint - a scarce resource
Step cost - a cost that is fixed within a range of activity but increases to higher level when the upper limit of the range is exceeded
"what if" analysis - determining that will happen if a particular action is taken
Relevant range - the span of activity for which estimates and predictions are likely to be accurate
Contribution Margin ratio - contribution margin divided by sales
High-Low Method - used to estimate the fixed and variable components of a mixed cost based on only two data points