Tricia Corporation is a single product firm that sells its product for $2.50 per unit. Variable expense per unit at Tricia is $1.00. Tricia expects fixed expenses to total $18,000 for next year. How many units would Tricia have to sell next year in order to break-even? a)7,200 b) 12,000 c) 30,000 d) 45,000 2. Terres Corporation produces and sells a single product. Data concerning that product appear below: selling price per unit: $100 variable expense per unit: $33 fixed expense per month: $293,460 The break-even in monthly dollar sales is closest to: a)$889,273 b) $438,000 c) $293,460 d) $540,244 3. Majid Corporation sells a product for $240 per unit. The product's current sales are 41,300 units and its break-even sales are 36,757 units.

What is the margin of safety in dollars? a)$8,821,680 b) $6,608,000 c) $9,912,000 d) $1,090,320 4. The April contribution format income statement of Iannacone Corporation appears below: sales:$60,900 variable expenses: $42,000 contribution margin: $18,900 fixed expenses: $13,500 net operating income:$5400 If the company's sales increase by 1%, its net operating income should increase by about: a) 9% b) 1% c) 4% d) 11% 5. Hurlex Company produces a single product. Last year, Hurlex manufactured 15,000 units and sold 12,000 units. Production costs for the year were as follows: direct materials: $150,000 direct labor:$180,000 variable manufacturing overhead:$135,000 fixed manufactuing overhead:$210,000 Sales totaled $840,000 for the year, variable selling expenses totaled $60,000, and fixed selling and administrative expenses totaled $180,000.

There were no units in the beginning inventory. Assume that direct labor is a variable cost. Under variable costing, the company's net operating income for the year would be: a)$42,000 higher than under absorption costing b) $30,000 higher than under absorption costing c) $30,000 lower than under absorption costing d) $42,000 lower than under absorption costing 6. Younie Corporation has two divisions: the South Division and the West Division. The corporation's net operating income is $26,900. The South Division's divisional segment margin is $42,800 and the West Division's divisional segment margin is $29,900.

What is the amount of the common fixed expense not traceable to the individual divisions? a)$56,800 b) $69,700 c) $72,700 d) $45,800 7. Norenberg Corporation manufactures a variety of products. The following data pertain to the company's operations over the last two years: variable costing net income, last year: $88,600 variable costing net income, this year: $96,100 increase in ending income, last year: $600 units decrease in ending income, this year: $2300 units fixed manufactingoverhead cost per unit:$7 What was the absorption costing net operating income last year? a) $92,800 b) $88,600 c) $84,400 d) $76,700 8. Borich Corporation produces and sells a single product. Data concerning that product appear below: selling price per unit: $150.00 variable expense per unit: $73.50 fixed expense per month: $308,295 The break-even in monthly unit sales is closest to: a) 2,055 b) 4,030 c) 4,194 d) 3,426