Which one of the following would be the same total amount on a flexible budget and a static budget if the activity level is different for the two types of budgets?

A) Direct materials cost
B) Direct labor cost
C) Variable manufacturing overhead
D) Fixed manufacturing overhead

Which condition is LEAST important for the success of a new strategy?

A) It is similar to a strategy that was previously successful.
B) It is based on the core competencies of the organization.
C) It is compatible with significant changes in the external environment.
D) It has a few clear themes relevant to the shared values of the members.

How much cash should Acti expect to pay out for raw material purchases during November?

A) $908,000
B) $438,000
C) $564,000
D) $344,000

Long-range planning

A) generally presents more detailed information than an annual budget.
B) generally encompasses a longer period of time than an annual budget.
C) is usually more accurate than an annual budget.
D) is prepared on a quarterly basis if the budget is prepared on a quarterly basis.

The Lawrence Stone-Age Pottery Co. receives 50 cheques per month from customers. Average payments and clearing times are as follows: five cheques for $21,000, two days; 15 cheques for $58,000, three days; 25 cheques for $37,000, four days; and five cheques for $10,000, five days. Assume a 360-day year. What is the weighted average float in receiving the funds?

A) 2.98 days
B) 3.47 days
C) 4.23 days
D) 5.01 days
E) 5.93 days

If the target profit is $60 000 for an annual volume of 480 units, the total annual fixed costs are $168 000 and the total variable cost per unit is $450, then what is the mark-up percentage on total variable cost?

A) 15.6%
B) 13.5%
C) 105.6%
D) 115.6%