Task Team of FUNdaMENTAL aCCOUNtIng School of Business. Sun Yat-sen University B. The annual report to shareholders C. Budgets D. All of the above 2. What would be an example of a performance report? (B) A. An income statement reporting actual results for the past month B. A production report showing budgeted and actual production for the past month C. An income statement showing the amounts budgeted for the past month D. a balance sheet showing the actual financial position at the end of the past month 3. The linear equation Y=a+ bx is often used to express cost formulas. Which of the following A. The a term represents variable cost in total B. The X term represents total costs C. The Y term represents total fixed costs D. The b term represents variable cost per unit of activity 4. Contribution margin is the excess of revenues over which of the following?(B) A. Cost of goods sold B. All ble costs C. Manufacturing cost. D. All direct costs 5. The break-even in units sold will decrease if there is an increase in which of the following? A Unit sales volume B Selling price C Unit variable expenses D. Total fixed expenses 6. The margin of safety is equal to which of the following formulas? (A) A Sales-( Fixed expenses/Contribution margin ratio) B Sales- Net income C. Sales-(Variable expenses/Contribution margin) D. Sales-(Variable expenses Fixed expenses) 7. The cash budget must be prepared before you can complete which of the following?( A. Budgeted balance sheet B Production budget C. Raw materials purchases budget D. Schedule of cash disbursements 8. The master budget process usually begins with which of the following?(B) A Production budget B. Sal C Operating budge D. Cash budget 9. What does an unfavourable labour efficiency variance indicate?(D) A. The actual labour rate was higher than the standard labour rate B. The labour rate variance must also be unfavourable C Overtime labour was used during the period D Actual labour hours worked exceeded standard labour hours for the production level achieved 10. If the actual labour hours worked exceed the standard labour hours allowed, what type ofTask Team of FUNDAMENTAL ACCOUNTING School of Business, Sun Yat-sen University B. The annual report to shareholders. C. Budgets. D. All of the above. 2. What would be an example of a performance report? (B) A. An income statement reporting actual results for the past month. B. A production report showing budgeted and actual production for the past month. C. An income statement showing the amounts budgeted for the past month. D. A balance sheet showing the actual financial position at the end of the past month. 3. The linear equation Y = a + bX is often used to express cost formulas. Which of the following representations in this equation is correct? (D) A. The a term represents variable cost in total. B. The X term represents total costs. C. The Y term represents total fixed costs. D. The b term represents variable cost per unit of activity. 4. Contribution margin is the excess of revenues over which of the following? (B) A. Cost of goods sold. B. All variable costs. C. Manufacturing cost. D. All direct costs. 5. The break-even in units sold will decrease if there is an increase in which of the following? (B) A. Unit sales volume. B. Selling price. C. Unit variable expenses. D. Total fixed expenses. 6. The margin of safety is equal to which of the following formulas? (A) A. Sales - (Fixed expenses/Contribution margin ratio). B. Sales - Net income. C. Sales - (Variable expenses/Contribution margin). D. Sales - (Variable expenses + Fixed expenses). 7. The cash budget must be prepared before you can complete which of the following? (A) A. Budgeted balance sheet. B. Production budget. C. Raw materials purchases budget. D. Schedule of cash disbursements. 8. The master budget process usually begins with which of the following? (B) A. Production budget. B. Sales budget. C. Operating budget. D. Cash budget. 9. What does an unfavourable labour efficiency variance indicate? (D) A. The actual labour rate was higher than the standard labour rate. B. The labour rate variance must also be unfavourable. C. Overtime labour was used during the period. D. Actual labour hours worked exceeded standard labour hours for the production level achieved. 10. If the actual labour hours worked exceed the standard labour hours allowed, what type of