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1. The entry to record the requisition of supplies from the storeroom would include __________.
A. debit to Raw Materials; credit to Work-in-Process
B. debit to Overhead-Applied; credit to Overhead-Control
C. debit to Work-in-Process; credit to Overhead-Control
D. debit to Overhead-Control; credit to Supplies Inventory
2. Sensitivity analysis is part of __________.
A. income statement analysis
B. Gross profit analysis
C. cost analysis
D. cost-volume-profit analysis
3. ABC Restaurant’s revenue budget reflects the following information for February:
Food sales$260,000
Beverage and liquor sales$140,000
Total sales$300,000
ABC expects revenue to increase by 5% during both March and April. What is the budgeted amount of food sales revenue for April?
A. $286,650
B. $272,650
C. $288,250
D. $292,350
4. Calculate the cost of goods sold when beginning finished goods inventory equals $70,000, ending finished goods inventory is $85,000, and cost of goods manufactured is $600,000.
A. $615,000
B. $445,000
C. $685,000
D. $585,000
5. An element of sensitivity analysis includes __________.
A. unidimensional changes
B. a sole focus on profit
C. simultaneous changes
D. a financial accounting approach
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