Construction Management (2180611) MCQs

MCQs of Construction equipment management

Showing 11 to 16 out of 16 Questions
11.
What are the assumptions made in breakeven analysis?
(a) All cost and volumes are known
(b) Cost-volume relationship are liner
(c) All output can be sold
(d) All of the above
Answer:

Option (d)

12.
Which of these is not a limitation of breakeven analysis?
(a) Indirect costs may change at different levels of output
(b) Variables may not give a straight line chart
(c) It focuses on profitability
(d) Managerial decisions may alter the fixed and direct costs
Answer:

Option (c)

13.
If IC is indirect cost, P is selling price and UDC is direct cost then equation to find out breakeven quantity B is __________.
(a) IC(P-UDC)
(b) IC(P+UDC)
(c) P(IC+UDC)
(d) P(IC-UDC)
Answer:

Option (a)

14.
If n is number of units sold and B is breakeven quantity of product than to make profit __________.
(a) N > B
(b) N < B
(c) N = B
(d) N + B = 0
Answer:

Option (a)

15.
To produce a product X indirect cost is Rs. 20000 and direct cost is Rs. 25 per piece. If this product is sold at Rs. 30 per piece in market then find out breakeven quantity of Product X.
(a) 1500
(b) 2000
(c) 3500
(d) 4000
Answer:

Option (d)

16.
To avoid losses 3000 units of face mask needs to be produced and to produce this quantity direct and indirect cost required are Rs. 15 and Rs. 15000 respectively. Find out selling price of this mask at breakeven point?
(a) Rs. 25
(b) Rs. 18
(c) Rs. 20
(d) Rs. 22
Answer:

Option (c)

Showing 11 to 16 out of 16 Questions