IMANET IMANET Certifications IMANET-CMA Questions & Answers

• Question 401:

  The statement of income for Dimmell Co. presented below represented the operating result for the fiscal year just ended. Dimmell had sales of 1,800 tons of product during the current year. The manufacturing capacity of Dimmell's facilities is 3.000 tons of product.

  

  The breakeven volume in tons of product for 2002 is ?

  A. 400 tons B. 1,100 tons

  C. 900 tons

  D. 550 tons

  Correct Answer: B

• Question 402:

  Lyman Company has the opportunity increase annual sales $100,000 by selling to a new. riskier group of customers The uncollectible expense is expected to be 15%, and collection costs will be 5%. The company's manufacturing and selling expenses are 70% of sales, and its effective tax rate is 40%. If Lyman should accept this opportunity. the company's after-tax profits would increase by

  A. $6,000

  B. $10,000

  C. $10200

  D. $14,400

  Correct Answer: A

• Question 403:

  Two compares are expected to have annual sales of I .000.000 decks at playing cards next year Eirne1es for next year are presented below:

  

  Given these data, which of the following responses is rue?

  

  A. 800.000 420.000 1.180,000

  B. 800.000 420,000 1000,000

  C. 533,334 106.000 1.000,000

  D. 533,334 105.000 1,180,000

  Correct Answer: A

• Question 404:

  Harper and her band want to put on a concert They have looked at two venues, a small one and a large one. and have compiled the blowing information:

  

  Harper owers the local music store $1 ,000 for equipment. If she intends to use the profit from the concert to pay back the debt, how many tickets must she sell?

  A. 300 small or 429 large

  B. 375 small or 429 large

  C. 375smallor500large

  D. 300 small or 500 large

  Correct Answer: C

• Question 405:

  Harper and her band want to put on a concert They have looked at two venues, a small one and a large one, and have compiled me following information

  

  What is the breakeven pant of the small venue?

  A. 200

  B. 250

  C. 305

  D. 315

  Correct Answer: B

• Question 406:

  Harper and her band want to put on a concert. They have looked at two varies a small one and a large one, and have compiled the following information

  

  The variable cost per customer for both venues s $2 The band will charge $10 per customer for the small venue or $14 for U large venue. what is the breakeven point of the large venue?

  A. 358

  B. 375

  C. 381

  D. 417

  Correct Answer: D

• Question 407:

  The data available for the current year are given below

  

  Based upon the information presented above, the contribution margin for the company was?

  A. $400,000

  B. $470,000

  C. $530,000

  D. $600,000

  Correct Answer: B

• Question 408:

  The data available for the current year are given below.

  

  using the information presented above, the contribution by Division I was?

  A. $190000

  B. $260,000

  C. $310.000

  D. $380 000

  Correct Answer: A

• Question 409:

  A company makes a product that sells for $30. During the coming year, fixed costs are expected to be $180.000, and variable costs are estimated at $26 per unit. How many units must the company sell to break even?

  A. 6,000

  B. 6,924

  C. 45,000

  D. 720,000

  Correct Answer: C

  The contribution to overhead per unit is $4.00. Fixed costs of $180,000 divided by the contribution of $4.00 gives breakeven sales volume of 45,000 units.

• Question 410:

  A company manufactures a single product. Estimated cost data regarding this product and other information for the product and the company are as follows: Sales price per unit $40 Total variable production cost per unit $22 Sales commission (on sales) 5% Fixed costs and expenses: Manufacturing overhead $5,598,720 General and administrative $3,732,480 Effective income tax rate 40% The number of units the company must sell in the coming year in order to reach its breakeven point is

  A. 388,800 units.

  B. 518,400 units.

  C. 583,200 units.

  D. 972000 units.

  Correct Answer: C