Fixed costs per unit increase and variable costs per unit do not change .
Fixed costs per unit do not change and variable costs per unit do not change .
Fixed costs per unit do not change and variable costs per unit increase . Question 5.5 . ( TCO B ) Which of the following statements is true ? I . Overhead application may be made slowly as a job is worked on . II . Overhead application may be made in a single application at the time of completion of the job . III . Overhead application should be made to any job not completed at year end in order to properly value the work in process inventory . ( Points : 6 ) Only statement I is true . Only statement II is true . Both statements I and II are true . Statements I , II , and III are true . Question 6.6 . ( TCO B ) Under a job-order costing system , the product being manufactured ( Points : 6 ) is homogeneous . passes from one manufacturing department to the next before being completed . can be custom manufactured . has a unit cost that is easy to calculate by dividing total production costs by the units produced . Question 7.7 . ( TCO F ) Equivalent units for a process costing system using the FIFO method would be equal to ( Points : 6 ) units completed during the period , plus equivalent units in the ending work-in-process inventory . units started and completed during the period , plus equivalent units in the ending work-in-process inventory . units completed during the period and transferred out . units started and completed during the period , plus equivalent units in the ending work-in-process inventory , plus work needed to complete units in the beginning work-in-process inventory . Question 8.8 . ( TCO C ) The contribution margin equals ( Points : 6 ) sales - expenses .